Qwan, a US ? How Should Qwan Assign Its Interest Expense Between U

Qwan, a U.S. corporation, reports $250,000 interest expense for the tax year. None of the interest relates to nonrecourse debt or loans from affiliated corporations. Qwan's U.S. and foreign assets are reported as follows. $\begin{array}{l}\text { Fair market value }\\\begin{array}{lr}\text { U.S. assets } & \$ 5,000,000 \\\text { Foreign assets } & \$ 10,000,000 \\\text { Tax book value: } & \\\text { U.S. assets } & \$ 2,000,000 \\\text { Foreign assets } & \$ 6,000,000\end{array}\end{array}$ ? How should Qwan assign its interest expense between U.S. and foreign sources to maximize its FTC for the current year?

A) Using tax book values.
B) Using tax book value for U.S. source and fair market value for foreign source.
C) Using fair market values.
D) Using fair market value for U.S. source and tax book value for foreign source.