Shelley Is Self-Employed in Texas and Recently Attended a Two-Day

question 124

Multiple Choice

Shelley is self-employed in Texas and recently attended a two-day business conference in New Jersey. After Shelley attended the conference, she had dinner with an old friend who lived nearby. Shelley documented her expenditures (described below) . What amount can Shelley deduct?

• A)$3,026
• B)$2,908
• C)$1,946, if Shelley itemizes the deductions
• D)All of these expenses are deductible but only if Shelley attends a conference in Texas.
• E)None of the expenses are deductible because Shelley visited her friend.

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Definitions:

Trade Promotion

Marketing activities executed to increase product demand among wholesaler, retailer, or distributor levels.

Fixed Cost

Costs that do not change with the level of production or sales activities, such as rent, salaries, and insurance.

Managerial Levers

Tools or mechanisms that managers can use to influence the performance and direction of their organization, such as decision-making processes, organizational structure, and resource allocation.

Large Lots

Bulk quantities of goods, often purchased or produced to achieve economies of scale but can lead to increased storage costs and risks.