Florence is the chief financial officer of Hazel Corporation, a publicly traded, calendar year C corporation. For the current year, her compensation package consists of:
Cash compensation $1,500,000
Bonus tied to company performance 700,000
Taxable fringe benefits 250,000
Nontaxable fringe benefits 75,000
How much of Florence's compensation is deductible by Hazel Corporation?
Answers: 3
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