For each of the following situations, explain whether a deduction should be allowed for entertainment expenses: a.

Question:

For each of the following situations, explain whether a deduction should be allowed for entertainment expenses:
a. Gayle, a dentist, invites 50 of her best patients to her daughter's wedding reception.
The cost of the reception related to the presence of her patients is $5,000.
b. Stan is one of 5 shift supervisors responsible for 100 employees at Label House, Inc. He regularly meets with the other shift supervisors at the plant. In addition, Stan makes it a practice to go to lunch at least once a week with each of the other 4 shift supervisors in order to network. During the current year, Stan pays $1,500 for his and the other supervisors' lunches. Stan's job description does not require him to entertain the other supervisors.
c. Jan is a real estate who holds an open house for a different client each Sunday afternoon. During the open house, she provides cookies and soft drinks for whoever visits the house. Jan pays $2,000 for open house entertainment.
d. Felicia is vice president of sales for Drivitt, Inc. She invites the company's major clients and some of her coworkers from Drivitt to her annual Super Bowl party.
Most guests attend with their spouses. The party is held in a separate room at a local sports bar and costs her $1,500.

Broker
A broker is someone or something that acts as an intermediary third party, managing transactions between two other entities. A broker is a person or company authorized to buy and sell stocks or other investments. They are the ones responsible for...