Louise works in a foreign branch of her employer's business.She earned $5,000 per month throughout the relevant period.
A) If Louise worked in the foreign branch from May 1, 2011 until October 31, 2012, she may exclude $40,000 from gross income in 2011 and exclude $50,000 in 2012.
B) If Louise worked in the foreign branch from May 1, 2011 until October 31, 2012, she cannot exclude anything from gross income because she was not present in the country for 330 days in either year.
C) If Louise began work in the foreign country on May 1, 2011, she must work through November 30, 2012 in order to exclude $55,000 from gross income in 2012 but none in 2011.
D) Louise will not be allowed to exclude any foreign earned income because she made less than $92,900.
E) None of the above.
Correct Answer:
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