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).

---

Definitions:

Expected Net Revenue

Expected net revenue is the anticipated profit calculated by subtracting expected costs from expected total revenue.

Risk-neutral

A risk preference situation where an individual or entity does not prefer risk but also does not avoid it, valuing potential gains and losses equally.

Risk-averse

A characteristic of preferring to avoid loss over making a gain, typically by selecting the option with the smallest possible risk.

Expected Utility

A theory in economics that quantifies how choices are made when the outcomes are uncertain.