Problem I $(10$ points$)$

Raven Corporation's controller is speaking as you enter a meeting:

Controller: Due to the pandemic situation, our receivabie coltections were down $20\%$ in April. It looks like we will be writing off $8\%$ of the receivable balance instead of the projected $2\%.$ And our projected May revenuc is $15\%$ below last year's record$-$breaking figure.

Marketing director: I know, I know. Nonetheless we have a major advertising campaign based on "Conquering Corona" that will be started next week. What I need to know is how much money will be allocated to the May promotional campaign.

Office manager: We've reduced our administrative hours by to hours per week per employee in an effort to keep as many people employed and to avoid layoffs$/$furloughs$.$ At the same time, we've brought in a trauma specialist to handle counseling and other psychological issues tied to the pandemic. She's agreed to cut her usual fee from $$\frac{125}{?}$ hour to $$100/$hour since she will be with us until the end of June, for sure.

CEO: Raven Corporation's Board of Directors is very pleased with our response to the COVID$-19$ situation. They have decided to continue full medical covernge for all of our salaried and wage employees. And a new supply of face masks and hand sanitizer will be arriving in mid$-$May. Finally, the Board has approved the sale of the distribution center in Baltimore to the state of Marylund. The building was fully depreciated and Maryland needed it to set up a Coronavirus Clinic.

IDENTIFY THE $2020$ FEDERAL INCOME TAX IMPLICATIONS ABOVE FOR RAVEN CORPORATION.

Note: some of the implications are more valuable than others. You should be able to identify at$/$east FIVB FEDERAL INCOME TAX IMPLICATIONS for RAVEN CORPORATION.