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Unformatted text preview: that only $20,000 of the interest paid is currently deductible. That is, a $20,000 deduction is more likely than not of being sustained on audit, based on the technical merits of the position, and is the largest amount of benefit cumulatively greater than 50% likely to be realized. Assume Millers tax rate is 35% Required : (1) Compute Millers 2009 taxable income. (2) Prepare the journal entry (or entries) to record Millers income taxes for 2009....
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- Fall '08