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This question was created from MC questions Chap 1-4.pdf https://www.coursehero.com/file/29663522/MC-questions-Chap-1-4pdf/

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USAco, a domestic corporation, manufactures merchandise in the U.S. that it then
sells in Canada. Title passes in Canada. The gross profit from these sales is:
(a) foreign-source because title passes in Canada.
(b) U.S.-source because the seller is a domestic corporation.
(c) U.S.-source because the merchandise was manufactured in the U.S.
(d) sourced under the 50-50 method.

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Solution... The correct answer is D.i.e Sourced under the 50-50 method Explanation.. As per Sources of Income Rules. in the... View the full answer

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