After a Business Meeting with a Prospective Client Holly Took

question 26

Multiple Choice

After a business meeting with a prospective client Holly took the client to dinner and the theatre.Holly paid $290 for the meal and $250 for the theatre tickets,amounts that were reasonable under the circumstances.What amount of these expenditures can Holly deduct as a business expense?

• A) $540
• B) $415
• C) $270
• D) None unless Holly discussed business with the client during the meal and the entertainment.
• E) None - the meals and entertainment are not deductible except during travel.

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Definitions:

Ethical Analysis

The process of examining ethical issues or dilemmas, typically involving a structured examination of values, principles, and moral outcomes of decisions or actions.

Staffing Agency

A company that matches employers with employees to fill job positions, often on a temporary or contract basis.

Financialization

The increasing dominance of financial markets, financial motives, financial institutions, and financial elites in the economy, affecting decision-making and resource allocation.

Financial Transactions

Deals or exchanges of monetary value between parties, including buying, selling, and trading goods, services, or financial instruments.