a $5,000 cash donation to a local charity. In its second year, Camco generated profit, and it also made a $10,000 donation to the same charity. Compute Camcos ta able income for its second year. 7. This year, Fig Corporation made a $100,000 contribution to charity. In each of the following situations, compute the after-tax cost of this contribution assuming that Fig uses a 6 percent discount rate to compute NPV a. Fig had $8 million taxable income before consideration of the contribution. b. Fig had $490,000 taxable income before consideration of the contribution. Net year, Fig's taxable income is $6 million, and it makes no charitable contributions. taxable income before consideration of the contribution. For is c. Fig had $190,000 next five years, Fig's annual taxable income is $130,000, and it makes no chaniai contributions. 8. Cranberry Corporation, a North Dakota company, is a producer of low-budg pendent films. It engages in this activity both within the United States and th a In the current year, it earned $200,000 of net income within the United sus $300,000 within Canada. Compensation paid to ite L in Canada n S15000