(Answered) Corporation's income after taxes and interest

Finance

Problem: The following information relates to Doe Corporation:

Interest received	$10,000
Interest paid	$45,000
Dividends received	$20,000
Dividends paid	$40,000
Operating income	$200,000
Income tax rate	40%

Required:

If 70% of dividends received are exempt from taxes, what is the corporation's income after taxes and interest? Explain your answers and provides examples.

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