LO.6 Fish, Inc., an exempt organization, reports unrelated business taxable income of

$500,000 (excluding the deduction for charitable contributions). During the year, Fish makes charitable contributions of $54,000, of which $38,000 are associated with the unrelated trade or business.

a. Calculate Fish’s unrelated business taxable income (UBTI).

b. Assume that the charitable contributions are $41,000, of which $38,000 are associated with the unrelated trade or business. Calculate the UBTI.