By donating $1,000 to the Salvation Army,Caroline reduced her taxable income.To Caroline,the reduction in her taxable income is
A)the margin.
B)an incentive.
C)an opportunity cost.
D)a marginal benefit.
E)a marginal cost.

Question

Quizplus · Accepted Answer

The reduction in taxable income serves as an incentive for Caroline to donate, as it provides a financial benefit in the form of tax savings.

By Donating $1,000 to the Salvation Army,Caroline Reduced Her Taxable