Hugh Contributes a Painting to a Local Museum for Display

question 10

Multiple Choice

Hugh contributes a painting to a local museum for display.His AGI is $35,000.Hugh paid $16,000 for the painting in 2000,but its market value at the date of the contribution is $22,000.If Hugh makes the election to maximize the current year deduction,his deductible contribution for this year will be

• A)$10,500.
• B)$16,000.
• C)$17,500.
• D)$22,000.

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Definitions:

Contribute Resources

involves providing or dedicating assets or capabilities, such as time, money, or expertise, to support a project, initiative, or cause.

Angel Investor

A wealthy individual who provides capital for a business start-up, usually in exchange for convertible debt or ownership equity.

Life Cycle

The series of stages through which something (such as a product, organization, or project) passes during its lifetime, from inception to termination.

Entrepreneurial Organisations

Companies characterized by innovative practices, proactive engagement with marketplace opportunities, and a willingness to take risks for growth.