In the Current Year, Plum Corporation, a Computer Manufacturer, Donated

question 63

Multiple Choice

In the current year, Plum Corporation, a computer manufacturer, donated 100 laptop computers to a local university (a qualified educational organization) . The computers were constructed by Plum earlier this year, and the university will use the computers for research and research training. Plum's basis in the computers is $35,000, and their fair market value is $120,000. What is Plum's deduction for the contribution of the computers (ignoring the taxable income limitation) ?

• A) $35,000
• B) $70,000
• C) $77,500
• D) $85,000
• E) $120,000

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Definitions:

Gentle Slope

A terrain feature with a relatively mild incline, often found in hills, plains, and other landforms, facilitating easier movement and agriculture.

Steep Slope

A terrain with a high gradient or incline, often leading to rapid runoff of water and increased erosion risks.

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Calcium Carbonate

A chemical compound found in rocks, shells, and marine organisms, commonly used as a building material and in manufacturing.