Question: Exercise 28-16 (Algorithmic) (LO. 2) The Hosta Trust reports gross rent income of $178,600, expenses attributable to the rents of $125,020, and tax-exempt interest from

Exercise 28-16 (Algorithmic) (LO. 2)

The Hosta Trust reports gross rent income of $178,600, expenses attributable to the rents of $125,020, and tax-exempt interest from state bonds of $44,650. Under the trust agreement, the trustee is to pay 20% of the annual trust accounting income to the American Red Cross, a qualifying charitable organization.

If required, round any division to two decimal places. Round your final answer to the nearest dollar.

a. Compute Hosta's charitable contribution deduction. $fill in the blank 1_____________

b. Express the solution as a Microsoft Excel command.

GIFT=ACCTGINCOMECHARITYRATE

DEDUCT=MIN(GIFT,(GIFTGROSSINCOMEACCTGINCOME))

Feedback Area Feedback An estate or a complex trust is allowed a deduction for contributions to charitable organizations under certain conditions.

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