In Order to Take a Business Deduction, the Taxpayer Engaged

question 141

True/False

In order to take a business deduction, the taxpayer engaged in a business must be able to establish a business purpose for each expenditure.

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Definitions:

Intensive Distribution

A distribution strategy that aims to provide widespread availability of a product by stocking it in as many outlets as possible.

Extensive Distribution

A distribution strategy that places a product in as many outlets as possible.

Distribution Density

The extent to which a product's availability is spread across a geographical area or among a number of retailers.

Intensive Distribution

A distribution strategy where a company sells its products in as many outlets as possible to maximize coverage and sales potential.