Which of the Following Is Deductible as a Trade or Business

question 152

Multiple Choice

Which of the following is deductible as a trade or business expense?

• A)A city coroner contributes to the mayor's reelection campaign fund.
• B)Illegal bribes and kickbacks paid to a Federal government employee by a corporate executive.
• C)Two-thirds of treble damage payments.
• D)Fines and penalties paid by a trucking firm for excessive weight and speeding.
• E)None of the above.

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Definitions:

Crude Oil

A naturally occurring, unrefined petroleum product composed of hydrocarbon deposits and other organic materials.

Tractors

Agricultural machinery designed for plowing, tilling, and performing other tasks on farms to facilitate crop production.

Gain From Trade

The increase in utility or benefit that entities receive from trading goods or services with each other, often as a result of specialization and efficiency.

Barrels

A unit of measure for oil and other petroleum products, equal to 42 US gallons.