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A Complex Trust Has $70,000 in DNI for the Current

Question 41

Multiple Choice

A complex trust has $70,000 in DNI for the current year.One-tenth of the income is from tax-exempt bonds.Distributions to beneficiaries total $7,000 for the current year.The trust must report taxable DNI of


A) $70,000
B) $63,000
C) $6,300
D) $56,700

Correct Answer:

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