Which of the Following Is Included in the Miscellaneous Itemized

question 26

Multiple Choice

Which of the following is included in the miscellaneous itemized deduction category,and deductible only if the total expenses in this category exceed 2% of the taxpayer's adjusted gross income?

• A)Investment interest expense
• B)Tax return preparation fees
• C)Property taxes
• D)Medical expenses

---

Definitions:

Periodic Inventory System

A method of inventory valuation where inventory and cost of goods sold are determined at the end of an accounting period.

FIFO Method

"First In, First Out," an inventory valuation method where goods purchased or manufactured first are sold or used first, affecting the cost of goods sold and ending inventory valuation.

Cost of Goods Sold

The expenses directly linked to the manufacturing of goods a company sells.

Specific Invoice

An itemized bill showing quantities, descriptions, prices, and terms of products and services provided by a seller to a buyer.