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:

Work Hours

The period of time during a day, week, or other defined period that is designated for professional activities or employment.

Group Memberships

The state or fact of being a member of a social group, which influences identity, beliefs, and behavior through social connections.

Conflict Theory

A social theory that views societal structures as inherently unequal, based on power differentials, leading to conflicts between different groups over resources, status, and power.

Categorization

The cognitive process of organizing objects, people, or concepts into classes or groups based on shared characteristics or attributes.