For the current year Dodd corp. had net income per books of $100,000. Included in the computation of net income were the following items:
Provision for federal income tax: $27,000
Net long-term capital loss: $5,000
Keyman life insurance premium (corporation is beneficiary): $3,000
Dodd's current year taxable income was
a. $127,000
b. $130,000
c. $132,000
d. $135,000
Answer: D
Tax
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