Estimating the taxable income


Emery Inc had $5million gross income, operating expenses $1million, paid $1million interest on $10million borrowed, and paid a dividend of $0.50 million. Emerys Inc taxable income is?

a- 4million

b- 3million

c- 3.5million

d- 2.5million

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Finance Basics: Estimating the taxable income
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