Henrietta, the owner of a very successful hotel chain in the Southeast, is exploring the possibility of expanding the chain into
a city in the Northeast. She incurs $32,000 of expenses associated with this investigation. Based on the regulatory environment for hotels in the city, she decides not to expand. During the year, she also investigates opening a restaurant that will be part of a national restaurant chain. Her expenses for this are $51,800. She proceeds with opening the restaurant, and it begins operations on May 1. Required:
Determine the amount that Henrietta can deduct in the current year for investigating these two businesses.
The amount that Henrietta can deduct in the current year for investigating these two businesses is:
= $83,800.
Explanation:
a) Data and Calculations:
Investigation cost for expanding the chain into the Northeast = $32,000
Investigation cost for expanding the chain into another location= $51,800
Total investigation costs = $83,800
b) According to the IRS, for the investigation costs to be deductible, they "must be both ordinary and necessary." "Ordinary" refers to common or acceptable expense in the Hotel industry, while "necessary" means the expense helps Henrietta's business in its pursuit of earning income (which a business expansion does). Therefore, the total investigation cost is deductible.
<span>Among the challenges facing those who practice the medical model today are cure versus control, the development of new drugs and <span><span><u>the control of medical services.</u> </span></span>According to the definition, the medical model is "</span><span>a term in psychology, indicating the assumption that abnormal behavior is the result of physical problems and should be treated medically."</span><span> </span>
The balance of payments includes all the economic transactions that a country has with the rest of the world, including the balance or trade (exports of goods - imports of goods), balance of services (exports of services - imports of services), capital account (net change in a nation's assets and liabilities), and total unilateral transfers (money sent out f the country vs money sent into the country).
The balance of payments is a very important economic indicator.
The correct option is D. The scrum master refers to the facilitator for an agile development team. His major responsibility is to manage the process of information exchange. All the responsibility listed above are the ways by which a scrum master can facilitate communication between the development team and the product owner.<span />
