Tommy, an Automobile Mechanic Employed by an Auto Dealership, Is

question 153

Multiple Choice

Tommy, an automobile mechanic employed by an auto dealership, is considering opening a fast food franchise. If Tommy decides not to acquire the fast food franchise, any investigation expenses are:

• A) A deduction for AGI.
• B) A deduction from AGI, subject to the 2 percent floor.
• C) A deduction from AGI, not subject to the 2 percent floor.
• D) Deductible up to $5,000 in the current year with the balance being amortized over a 180-month period.
• E) Not deductible.

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Definitions:

Microbusinesses

Very small enterprises typically characterized by having fewer than 10 employees and operating with minimal capital investment.

Staffing

The process of hiring, positioning, and overseeing employees in an organization.

Recruiting

The process of identifying, attracting, interviewing, selecting, hiring, and onboarding employees.

Contributing To The Organized Effort

Engaging in actions or activities that aid in achieving the collective goals of a group or organization.