The cost of transportation from New York to London for a trip that is for both business and pleasure may be deducted in full as a travel expense.

1. The cost of transportation from New York to London for a trip that is for both business and pleasure may be deducted in full as a travel expense.3. The expense of travel as a from of education is not deductible.4. A business gift with a value of $35 presented to a client and his non-client spouse is fully deductible by the donor.6. For an expense to qualify as a travel expense, the taxpayer must be away from home for a t least 24 hours.7. The home office deduction is an easy way for a taxpayer to show a loss on his or her tax return.MULTIPLE CHOICE11. During 2009, Harry, a self-employed accountant, travels from Kansas City to Miami for a one-week business trip. While in Miami, Harry decides to stay for an additional 5 days of vacation. Harry pays $600 for airfare, $200 for meals, and $500 for lodging while on business. The cost of meals and lodging while on vacation was $300 and $500, respectively. How much may Harry deduct as travel expenses for the trip?a. $600b. $1200c. $1260d. $2100e. none of the above12. During the 2009 holiday season, Bob, a barber, gave business gifts to 34 customers. The values of the gifts, which were not of a promotional nature, were as follows: 8 at $10 each8 at $25 each8 at $50 each10 at $100 eachFor 2009, what is the amount of Bob's business gift deduction?a. $0b. $280c. $730d. $850e. none of the above13. If a per diem method is not used, which of the following items is not required as substantiation for the deduction of travel expense?a. amount spentb. destinationc. business reason for the tripd. departure and return datese. all of the above must be substantiated14. Nancy owns a small dress store. During 2009, Nancy gives business gifts having the indicated cost to the following individuals:Mrs. Johns (a customer) $37 plus $3 shippingMr. Johns (non-client husband of Mrs. Johns) $10Ms. Brown (a customer) $22What is the amount of Nancy's deduction for business gifts?a. $0b. $50c. $53d. $62e. none of the above15. Richard operates a hair styling boutique out of his home. 300 of the 1,200 square feet of floor space are allocated to the boutique. Other information is as follows:Gross income from the boutique $10,000Supplies for the boutique $2000Depreciation on total residence $12000Utilities for total residence $6000What amount of income or loss from the boutique should Richard show on his return?a. $10000 lossb. $0 income or lossc. $3500 incomed. $5000 incomee. none of the above28. Barry is a self-employed attorney who travels to New York on a business trip during 2009. Barry's expenses were as follows:Airfare $560Taxis 40Meals 100Lodging 350How much may Barry deduct as travel expenses for the trip?a. 0b. 950c. 1000d. 1050e. none of the above