Holly took a prospective client to dinner at a restaurant, and after agreeing to a business deal, they went to the theater. Holly paid $490 for the meal and separately paid $170 for the theater tickets, amounts that were reasonable under the circumstances. What amount of these expenditures can Holly deduct as a business expense? Multiple Choice $660 $330 $490 $85 None—the meals and entertainment are not deductible except during travel.
Holly took a prospective client to dinner at a restaurant, and after agreeing to a business deal, they went to the theater. Holly paid $490 for the meal and separately paid $170 for the theater tickets, amounts that were reasonable under the circumstances. What amount of these expenditures can Holly deduct as a business expense? Multiple Choice $660 $330 $490 $85 None—the meals and entertainment are not deductible except during travel.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Holly took a prospective client to dinner at a restaurant, and after agreeing to a business deal, they went to the theater. Holly paid $490 for the meal and separately paid $170 for the theater tickets, amounts that were reasonable under the circumstances. What amount of these expenditures can Holly deduct as a business expense?
Multiple Choice
-
$660
-
$330
-
$490
-
$85
-
None—the meals and entertainment are not deductible except during travel.
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