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azamat
3 years ago
12

Fred, a self-employed taxpayer, travels from Denver to Miami primarily on business. He spends five days conducting business and

two days sightseeing. His expenses are $400 (airfare), $150 per day (meals), and $300 per night (lodging). If required, round your answers to the nearest dollar. Fred's deductible expenses are:
A. Airfare: $ 400
B. Lodging:$ 300
C. Meals: $ 0
Business
1 answer:
malfutka [58]3 years ago
8 0

Answer:

$9,400

Explanation:

The computation of deductible expenses is shown below:-

Airfare = $400

Lodging = $300 × 5

= $1,500

Meals = $150 × 5

= $7,500

Total deduction = Airfare + Lodging + Meals

= $400 + $1,500 + $7,500

= $9,400

Therefore for computing the total deduction we simply add airfare, lodging and meals and hence the total deduction is $9,400

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