Which of the Following Is a True Statement

question 34

Multiple Choice

Which of the following is a true statement?

• A) Interest expense is not deductible if the loan is used to purchase municipal bonds.
• B) Insurance premiums are not deductible if paid for "key man" life insurance.
• C) One half of the cost of business meals is not deductible.
• D) All of these are true.
• E) None of these is true.

---

Definitions:

Foam Insulation

A type of building insulation that is made from various types of foam and is used to reduce heat transfer.

Colourless Gas

A gas that does not have any color visible to the human eye, which can be natural or man-made.

Thermal Inversion Layer

A weather phenomenon where a layer of warm air traps pollution and cooler air beneath it, often leading to poor air quality.

Pollutants

Substances introduced into the environment that cause harm or discomfort to the ecosystem or living organisms.