Choose the Correct Statement

question 94

Multiple Choice

Choose the correct statement:

• A)If a taxpayer does a lot of business travel, the taxpayer may deduct the amount paid for an airline club membership.
• B)Membership dues to a golf club are deductible as long as there is a business purpose.
• C)In order to be deductible, dues and subscriptions must be related to the taxpayer's occupation.
• D)If a financial planner becomes certified, then he/she may not deduct the Certified Financial Planner (CFP) dues because it is not necessary to be certified in order to engage in the business of being a financial planner.

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Definitions:

Portfolio Beta

A measure of the volatility, or systematic risk, of a portfolio of investments in comparison to the market as a whole.

Market Expected Rate

The rate of return anticipated by investors in the market, based on the investment's risk and prevailing economic conditions.

Perpetual Cash Flow

Cash flow that continues indefinitely without cessation.

Listed Beta

A measure of an asset's volatility relative to the market as a whole, often used to assess risk.