A Taxpayer Opens a New Business This Year

question 77

True/False

A taxpayer opens a new business this year.Prior to opening,she incurred $45,000 of business investigation and preopening costs.The taxpayer can elect to currently deduct $5,000 and amortize the balance over 180 months.

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Definitions:

Significant Figures

The number of digits in a value that contribute to the precision of that value.

Significant Figures

The number of meaningful digits used to express a value accurately in measurements and calculations.

Accuracy

The degree to which the result of a measurement, calculation, or specification conforms to the correct value or a standard.

Precision

The degree to which repeated measurements under unchanged conditions show the same results.