Tom Operates an Illegal Drug-Running Operation and Incurred the Following

question 47

Multiple Choice

Tom operates an illegal drug-running operation and incurred the following expenses:
Salaries
$ 75,000
Illegal kickbacks
20,000
Bribes to border guards
25,000
Cost of goods sold
160,000
Rent
8,000
Interest
10,000
Insurance on furniture and fixtures
6,000
Utilities and telephone
20,000
Which of the above amounts reduces his taxable income?

• A)$0.
• B)$160,000.
• C)$279,000.
• D)$324,000.
• E)None of the above.

---

Definitions:

Quiet Environment

A setting or situation with minimal noise, facilitating focus, relaxation, or tranquility.

Herbert Benson

An American physician and founder of the Mind/Body Medical Institute, known for his research on the relaxation response and mind-body medicine.

Self-Talk

The internal dialogue that occurs within a person's mind, influencing their attitude and behavior.

Awfulizing

The cognitive distortion of imagining the worst possible outcomes in a situation, often leading to increased anxiety or fear.