What amount of taxable gain did jet the parent

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Unformatted text preview: h are not a part of adjusted ordinary gross income. Rule: A corporation is a personal holding company if 60% of adjusted ordinary gross income consists of: 1. 2. 3. 4. Dividends Taxable interest Royalties, but not mineral, oil, gas or copyright royalties Net rent, if less than 50% of ordinary gross income. Choices "a", "c", and "d" are incorrect, per the above rule. CPA-02248 Type1 M/C 123. CPA-02248 A-D R98 #10 Corr Ans: D PM#29 R 3-99 Page 17 Haze Corp., an accrual-basis, calendar-year C corporation, began business on January 1, 2004, and incurred the following costs: Underwriting fees to issue corporate stock $ 12,000 Legal fees to draft the corporate charter 41,000 61 © 2009 DeVry/Becker Educational Development Corp. All rights reserved. Maxixishere Pdf Collection Becker CPA Review, PassMaster Questions Lecture: Regulation 3 Haze elected to amortize its organization costs. What was the maximum amount of the costs that Haze could deduct for tax purposes on its 2004 income tax return? a. b. c. d. $0 $2,400 $5,0...
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