USAco, a domestic corporation, manufactures widgets for sale in the United States. USAco owns 100% of the stock of FORco, a foreign manufacturing and sales subsidiary. In 2017, FORco had $30 million of income from the manufacturing and sale of widgets in Europe and paid $3 million in foreign income taxes. FORco distributed no dividends. In October of the 2017, FORco loaned $10.8 million to USAco. Required:
a. What are the U. S. tax consequences (if any) to USAco?
b. How would you answer to part (a) change if the year is 2020?

Scenario: you have advised the owner of bond's gym that the best thing to do would be to raise the price of a monthly membership. the owner wants to know what may happen once this price increase goes into effect. what will most likely occur after the price of a monthly membership increases? check all that apply. current members will pay more per month. the quantity demanded for memberships will decrease. the number of available memberships will increase. the owner will make more money. bond's gym will receive more membership applications.