In 2010,Jay Corporation (a calendar year taxpayer)had the following transactions:

For 2010,Jay Corporation's AMTI is:

Question

In 2010,Jay Corporation (a calendar year taxpayer)had the following transactions:

For 2010,Jay Corporation's AMTI is:

Quizplus · Accepted Answer

Jay Corporation's taxable income for 2010 is: 
Gross Income: $10,000,000 
Cost of Goods Sold: ($3,500,000) 
Depreciation: ($800,000) 
Charitable Contribution: ($150,000) 
Interest Income: $500,000 
Dividend Income: $300,000 
Net Capital Gain: $1,500,000 
Total Deductions: ($1,100,000)

= $7,250,000

Since there are no adjustments to AMTI given, we can assume that Jay Corporation's AMTI is the same as its taxable income, which is $7,250,000. Therefore, the best choice is D.

In 2010,Jay Corporation (A Calendar Year Taxpayer)had the Following Transactions