James owns his own small business and makes about $200,000 per year in taxable income. He is single and has an opportunity to earn an additional $50,000 in net income from the sale of additional inventory, which costs $24,000 to produce. He has a marginal tax rate of 32% and an effective tax rate of 21% (after deductions unaffected by this transaction).

1) Without regard to the QBID, what are the overall tax effects of receiving this additional, if he should take it?

2) If he refuses to take the job and decides to donate the related inventory to a local childrens hospital, what kind of charitable deduction could he claim?