If a Corporation's Charitable Contributions Exceed the Deduction Limitation in a Particular

question 67

Multiple Choice

If a corporation's charitable contributions exceed the deduction limitation in a particular year, the excess

• A)is not deductible in any future year.
• B)becomes a carryover to a maximum of five succeeding years.
• C)may be carried back to the third preceding year.
• D)is carried over indefinitely.

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Definitions:

Operating Activities

Activities that relate directly to the primary operations of a company, such as manufacturing, distributing, marketing, and selling a product or service.

Direct

Pertains to costs or actions that can be directly attributed to a specific project, department, or product without any need for allocation.

Indirect Methods

Approaches used in accounting and finance to estimate or calculate values based on indirect indicators or conversions, rather than direct measurement.

Three Sources

Refers to the original means or origins of information, funds, or support, often used in various contexts.