Purple Corporation (a calendar year taxpayer) is engaged in the business of retailing CD players and makes the following donations during the year: $\begin{array}{ll}&\text { Fair Market }\
\text { Adjusted Basis }&\text { Value }\\hline
\text { CD players (held as inventory) }\\text { to the local Women's Shelter }&\$8,000&\$12,000\
\text { Stock in Music acquired two years ago and held as }\
\text { an investment to a Catholic Church seminary }&6,000&10,000\
\text { Delivery van to local SPCA (animal shelter) }&8,000&4,000
\end{array}$
How much qualifies for the charitable contribution deduction?
A)$18,000.
B)$22,000.
C)$24,000.
D)$26,000.
E)None of the above.

Question

Purple Corporation (a calendar year taxpayer) is engaged in the business of retailing CD players and makes the following donations during the year: $\begin{array}{ll}&\text { Fair Market }\
\text { Adjusted Basis }&\text { Value }\\hline
\text { CD players (held as inventory) }\\text { to the local Women's Shelter }&\$8,000&\$12,000\
\text { Stock in Music acquired two years ago and held as }\
\text { an investment to a Catholic Church seminary }&6,000&10,000\
\text { Delivery van to local SPCA (animal shelter) }&8,000&4,000
\end{array}$
 How much qualifies for the charitable contribution deduction?
A)$18,000.
B)$22,000.
C)$24,000.
D)$26,000.
E)None of the above.

Quizplus · Accepted Answer

The Answer is C

Purple Corporation (A Calendar Year Taxpayer) Is Engaged in the Business