Question
During the year, Morgan makes the following donations to his church: cash of $5,500 and stock worth $50,000. Morgan had purchased the stock six years
During the year, Morgan makes the following donations to his church: cash of $5,500 and stock worth $50,000. Morgan had purchased the stock six years ago for $38,000 and held it as an investment. Morgan's AGI for the year is $80,000.
a. Disregarding percentage limitations, Morgan's potential deduction is $____________.
b. In applying the percentage limitations, the current deduction for the stock i s $___________. Thus, the total current deduction is $__________.
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Cornerstones of Financial and Managerial Accounting
Authors: Rich, Jeff Jones, Dan Heitger, Maryanne Mowen, Don Hansen
2nd edition
978-0538473484, 538473487, 978-1111879044
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