Identify Which of the Following Statements Is True

question 37

Multiple Choice

Identify which of the following statements is true.

• A)"Ordinary income property" with regard to the charitable contribution deduction does not include property whose sale would have produced a short-term capital gain.
• B)The Twilight Corporation purchases inventory for $5,000. Its FMV on the date it is donated to the Blue-Gray Hospital for the care of the needy is $13,000. The maximum charitable contribution deduction available for the donation is $9,000.
• C)Corporations' charitable deductions are limited to 20% of their adjusted taxable income.
• D)All of the above are false.

---

Definitions:

Medication Allergy

An immune system reaction that occurs as a response to a specific medication, ranging from mild to severe.

Carbon Monoxide Poisoning

A potentially fatal condition caused by inhalation of carbon monoxide gas, which prevents oxygen from being utilized properly by the body.

Carotenemia

A condition characterized by yellowing of the skin caused by increased levels of carotene, often resulting from excessive intake of carotene-rich foods.

Polycythemia

A medical condition characterized by an increased number of red blood cells in the bloodstream.