Hannah Makes the Following Charitable Donations in the Current Year

question 56

Multiple Choice

Hannah makes the following charitable donations in the current year: $\begin{array}{lrr}&\text { Basis}&\text { Fair Market }\\&&\text { Value }\\\begin{array}{l}\text { Inventory held for resale in Hannah's business (a } \\\text { sole proprietorship) }\end{array} & \$ 8,000 & \$ 7,200 \\\begin{array}{l}\text { Stock in HBM, Inc., held as an investment } \\\text { (acquired four years ago) }\end{array} & 16,000 & 40,000 \\\begin{array}{l}\text { Baseball card collection held as an } \\\text { investment (acquired six years ago) }\end{array} & 4,000 & 20,000 \\\hline\end{array}$ The HBM stock and the inventory were given to Hannah's church, and the baseball card collection was given to the United Way. Both donees promptly sold the property for the stated fair market value. Disregarding percentage limitations, Hannah's current charitable contribution deduction is:

• A) $28,000.
• B) $51,200.
• C) $52,000.
• D) $67,200.
• E) None of these.

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Definitions:

Brick-and-mortar Stores

Physical retail locations where customers can visit to view and purchase goods in person.

Two Competitors

Entities, especially businesses, engaged in a rivalry in the same industry or sector, striving to achieve goals such as higher sales, market share, or innovation.

Rivalry

Competition or conflict between two or more parties, often for dominance or superiority in a specific area.

Nature of Competition

Refers to the characteristics and dynamics of rivalry among businesses in the same industry, which can influence market behavior and business strategies.