Match the proper deduction method with the correct expenditures.
-Illegal gambling operation expenses
A)Capitalized and amortized over a number of accounting periods
B)Expensed in the period incurred
C)Not deductible
D)Can be capitalized and amortized or deductible depending on the amount of the expenditure

Question

Quizplus · Accepted Answer

Expenses related to an illegal gambling operation cannot be capitalized and amortized over time as it is not considered a legitimate business activity. These expenses should be expensed in the period in which they are incurred.

Match the Proper Deduction Method with the Correct Expenditures