Hannah makes the following charitable donations in the current year: Basis Fair Market Value Inventory held for resale in Hannah's business (a sole proprietorship) $ 8,000 $ 7,200 Stock in HBM, Inc., held as an investment (acquired four years ago) 16,000 40,000 Baseball card collection held as an investment (acquired six years ago) 4,000 20,000 The HBM stock and the inventory were given to Hannah's church, and the baseball card collection was given to the United Way. Both donees promptly sold the property for the stated fair market value. Disregarding percentage limitations, Hannah's current charitable contribution deduction is: a.$28,000. b.$67,200. c.$51,200. d.$52,000.

c.$51,200.

Explanation:

Individual tax: Charitable contribution deduction ignoring % limit

Inventory will be valued at lower of FMV or basis       $7,200

Stock in HBM (a capital investment assets                   $40,000

will be valued at FMV)

Baseball card collection (Non capital gain item,          $4,000

valued at lower of FMV or basis)

Hannah's Current maximum charitable                      $51,200

contribution deduction

answer; measurable outcome;

the answer is "b.the increased supply will create a surplus. "

the essential thought behind price controls is straightforward - utilize the power of law to modify the equilibrium of a market. for instance, the legislature may choose that the steel business needs to survive, and in this way pass a law to set a value floor on steel. this implies all steel sold must offer at or over the floor value, which must be set over the equilibrium cost for it to have any impact. the switch could likewise happen - the administration can choose that steel is excessively costly and set a value roof underneath its equilibrium value, with the goal that all steel must be sold at or beneath that ceiling.