Racine Started a New Business in the Current Year

question 55

Multiple Choice

Racine started a new business in the current year. She incurred $52,000 of start-up costs. If her business started on November 23^rd of the current year, what is the total expense she may deduct with respect to the start-up costs for her initial year, rounded to the nearest whole number?

• A) $2,555
• B) $3,544
• C) $5,522
• D)$52,000
• E)None of these

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Definitions:

Core Principles

Fundamental beliefs or guidelines that form the foundation for a system, organization, or individual's actions and decisions.

Professional Selling

The practice of selling products or services in a business-to-business context, focusing on meeting the professional needs of the buying organization.

Transaction Selling

A sales approach focused on completing a single sale or transaction rather than building a long-term relationship with the customer.

Realtor

A real estate professional who is a member of the National Association of Realtors and adheres to its strict code of ethics.