Brief Facts:

• Taxable Income for charitable contribution limitation purposes/ before any charitable contribution, NOL carryover from previous year, and DRD – $7,000,000.00
• NOL carryover from prior year - $450,000.00
• Depreciation has a favorable difference (book depreciation vs. tax depreciation) of $100,000.00
• Bad Debt expense is accrued at $150,000.00 but cash expense is only $50,000.00
• Charitable contribution is $1,500,000.00