Federal Tax Research 10th Edition by Roby Sawyers,William Raabe,Gerald Whittenburg,Steven Gill

Exercise 50

Alice, the chair of the School of Accountancy, entertains the faculty at her home each semester and has a holiday party at the end of December for the faculty and their families. When a faculty member is promoted or has a paper published in an exceptionally prestigious journal, Alice hosts a "social hour" at her house. She also sponsors a picnic for the faculty and graduate students at the start of the fall semester to let them get acquainted with each other. To what extent are these expenses deductible