Which of the following expenditures would not be deductible as a business expense?
A)Costs of holding a business training session at a local hotel
B)The fare for flying business class to an overseas meeting
C)Paying the interest on a loan for the owner's grandfather
D)Paying the owner's 17 year old son a salary of $9 per hour for cleaning and janitor services

Question

Quizplus · Accepted Answer

Interest on a loan for the owner's grandfather is not deductible as a business expense because it is not an ordinary and necessary expense directly related to the operation of the business.

Which of the Following Expenditures Would Not Be Deductible as a Business