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During the current yearUPS, Inc.an exempt organization, derived income of $ 1 5 , 0 0 0 from conducting bingo games. Conducting bingo games is
During the current yearUPS, Inc.an exempt organization, derived income of $ from conducting bingo games. Conducting bingo games is legal in Help's locality and is confined to exempt organizations in UPS' stateWhich of the following statements is true regarding this income The entire $ is subject to tax at a lower rate than the corporate income tax rate The entire $ is exempt from tax on unrelated business income. Only the first $ is exempt from tax on unrelated business income. Since Help has unrelated business incomeHelp automatically forfeits its exempt status for the current year.
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