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Sonja [21]
3 years ago
14

Oscar Cinema Studios rewards its retiring officers with miniature gold statuettes if the officers complete at least 10 years of

service. Each statuette costs Oscar $400 and is worth $600. Rank-and-file employees receive plastic replicas of the studio’s back lot when they retire and have completed 30 years of devoted service. These plastic replicas cost $50 a piece and are each worth $70. In the current year, Oscar gave two retiring officers each a miniature statuette during a meaningful presentation. How much can Oscar deduct for these gifts?
Business
1 answer:
bixtya [17]3 years ago
6 0

Answer: $800

Explanation:

In this scenario in the question, we should note that there's is no discrimination which favors the officers.

The deduction for the gifts by Oscar will then be $400 for every recipient and the cost spent on each statuette by the company.

Therefore, the amount that Oscar can deduct for these gifts will be:

= $400 + $400

= $800

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