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Required information [The following information applies to the questions displayed below.] Golf Corp. (GC), a calendar-year accrual-method corporation, held its directors' meeting on December 15

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Required information [The following information applies to the questions displayed below.] Golf Corp. (GC), a calendar-year accrual-method corporation, held its directors' meeting on December 15 of year 1 During the meeting the board of directors authorized GC to pay a $75,000 charitable contribution to the World Golf Foundation, a qualifying charity. (For all requirements, leave no answer blank. Enter zero if applicable and select "Not applicable" if no effect.) a. If GC actually pays $50,000 of this contribution on January 15 of year 2 and the remaining $25,000 on or before April 15 of year 2 what book-tax difference will it report associated with the contribution in year 1 (assume the 10 percent limitation does not apply? Is it favorable or unfavorable? Is it permanent or temporary? Book tax Difference Favorable or Unfavorable Temporary or Permanent Year 1 b. If GC actually pays $50.000 of this contribution on January 15 of year 2 and the remaining $25,000 on or before April 15 of year 2 what book-tax difference will GC report in year 2 (assuming the 10 percent limitation does not apply)? Is it favorable or unfavorable? es Book-tax Difference Favorable or Unfavorable Year 2 c. If GC actually pays $50,000 of this contribution on January 15 of year 2 and the remaining $25,000 on May 15 of year 2. what book- tax difference will it report associated with the contribution in year 1 (assume the 10 percent limitation does not apply)? Is it favorable or unfavorable? Is it permanent or temporary? Book tax Difference Favorable Unfavorable Temporary or Permanent Year 1 BOOK d. If GC actually pays $50,000 of this contribution on January 15 of year 2 and the remaining $25,000 on May 15 of year 2 what book- tax difference will GC report in year 2 (assuming the 10 percent limitation does not apply? Is it favorable or unfavorable? rences Book tax Difference Favorable or Unfavorable Year 2

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