Which of the Following Statements Regarding Excess Charitable Contributions (Contributions

question 23

Multiple Choice

Which of the following statements regarding excess charitable contributions (contributions in excess of the modified taxable income limitation) by corporations is True?

• A) Corporations may not carry over or carry back excess charitable contributions.
• B) Corporations can carry excess charitable contributions over to a future year or back to a prior year.
• C) Corporations can carry excess charitable contributions over to a future year but not back to a prior year.
• D) Corporations can carry excess charitable contributions back to a prior year but not over to a future year.

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Definitions:

Misleading Advertising

Advertising that deceives or is likely to deceive the consumers, making them believe something about a product or service that is not true.

Insider Trading

Refers to illegal practice where trade of a company's stock is undertaken by people who have access to non-public, material information about the company.

Tying Contract

A requirement imposed by a seller that a buyer purchase another (or other) of its products as a condition for buying a desired product; a practice forbidden by the Clayton Act.

Price-fixing

An illegal agreement among competitors to maintain prices at a certain level, preventing the forces of competition from dictating market prices.