Kingbird Corporation (A Calendar Year C Corporation) Reports the Following

question 122

Multiple Choice

Kingbird Corporation (a calendar year C corporation) reports the following income and expenses this year: $\begin{array}{lr}\text { Income from operations } & \$ 200,000 \\\text { Expenses from operations } & 140,000 \\\text { Dividends received (15\% ownership) } & 15,000\end{array}$ On October 1, Kingbird Corporation made a contribution to a qualified charitable organization of $9,000 in cash (not included in any of the above items) . Determine Kingbird's charitable contribution deduction.

• A) $9,000
• B) $7,500
• C) $6,750
• D) $6,525
• E) None of these.

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Definitions:

CAFTA

The Central America Free Trade Agreement, a trade agreement between the United States and Central American countries to reduce trade barriers and increase economic cooperation.

Trade Agreement

A treaty between two or more nations regarding the terms of trade between them, often aiming to reduce tariffs and foster trade.

Central America

A region located in the southernmost part of North America, consisting of seven countries between Mexico to the north and Colombia to the south, known for its diverse geography and cultures.

International Monetary Fund

An international organization that aims to promote global economic stability and growth by providing monetary cooperation and financial assistance to its member countries.