Christa Has Made a $25,000 Pledge to the American Red

question 72

Multiple Choice

Christa has made a $25,000 pledge to the American Red Cross (a public charity) .Christa expects AGI of $200,000 this year.Which of the following assets should she donate?

• A)$25,000 of cash
• B)stock purchased three years ago for $18,000 with a current FMV of $25,000
• C)stock purchased six months ago for $28,000 with a current FMV of $25,000
• D)Christa should be indifferent among the three choices.

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Definitions:

Corporate Social Responsibility

A business model where companies integrate social and environmental concerns in their operations and interactions with stakeholders.

Financially Sound

A term describing the state of having strong financial health and stability, often characterized by good cash flow, low debt, and strong profitability.

Economic

Pertaining to the production, consumption, and transfer of wealth within a society or region.

Ethical Dilemma

A situation in which a person must choose between two or more actions that have different moral implications, making it difficult to decide the right course of action.