Corporations Are Not Allowed to Deduct Charitable Contributions in Excess

question 84

True/False

Corporations are not allowed to deduct charitable contributions in excess of 10percent of the corporation's taxable income (before the charitable contribution and certain other deductions).

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Definitions:

Revenues

The income that a business receives from its normal business activities, typically from the sale of goods and services to customers.

Costs

The total expenditures or the amount of resources used in the production of goods or services, including materials, labor, and overhead expenses.

Mass Customization

A production technique that allows for the customization of products to meet individual customer needs at mass production prices.

Price Discrimination

Charging different prices to different buyers for products of like grade and quality.