Old,Inc. ,a U.S.corporation,earns foreign-source income classified in two different limitation baskets in the current year.It earns $20,000 in passive foreign-source income and suffers a net loss of $35,000 in the general limitation basket.What is the numerator of the FTC limitation formula for the passive basket in the current year?
A) $0.
B) ($5,000) .
C) $20,000.
D) $55,000.
E) Some other amount.
Correct Answer:
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