Hoover, Inc. had gross receipts from operations of $230,000, operating and other expenses of $310,000, and dividends received from a 45 percent-owned domestic corporation of $120,000. Hoover's tax position for the year is:
a. $8,000 taxable income
b. $56,000 net operating loss
c. $40,000 taxable income
d. $80,000 net operating loss