Question: Assume taxable income is the starting point for computing E & P . During 2 0 2 3 , Kobe Corporation made a charitable contribu

Assume taxable income is the starting point for computing E & P. During 2023, Kobe Corporation made a charitable contribution of $90,000. Of this amount $10,000 could not be deducted in arriving at Kobe's taxable income for 2023 because of the percentage of income limitation. If the $10,000 was carried over to 2024 and fully deducted in that year, which of the following is true?
Group of answer choices
The excess charitable contribution deduction of $10,000 reduces Kobe Corporation's E & P for 2023.
The excess charitable contribution of $10,000 increases Kobe Corporation's E & P for 2023.
The excess charitable contribution deduction of $10,000 has no effect on Kobe Corporation's E & P in 2024.
The excess charitable contribution deduction of $10,000 reduces Kobe Corporation's E & P for 2024.

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