1. During 2019, Sweetheart Corporation had the following income and expenses:

   Gross receipts	$1,200,000
   Salaries and wages	600,000
   Contribution to qualified charities	90,000
   Capital gains	30,000
   Depreciation expense	70,000
   Dividend income from a 20%-owned
   domestic corporation	120,000
   Dividends-received deduction	78,000

   What is the amount of Sweethearts charitable contribution deduction for 2019?

   	a.	$59,000
   	b.	$68,000
   	c.	$90,000
   	d.	$51,200

2. During 2019, Ral Corp. exchanged 5,000 shares of its own $10 par common stock for land with a fair market value of $75,000. As a result of this exchange, Ral should report in its 2019 tax return

   	a.	no gain
   	b.	$25,000 ordinary income
   	c.	$25,000 sec 1245 gain
   	d.	$25,000 sec 1231 gain