In 2017, Magenta Corporation paid compensation of $45,300 to the participants in a profit sharing plan. During

Question:

In 2017, Magenta Corporation paid compensation of $45,300 to the participants in a profit sharing plan. During 2017, Magenta Corporation contributed $13,200 to the plan.
a. Calculate Magenta’s deductible amount for 2017.
b. Calculate the amount of any contribution carryover from 2017.

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...