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29. Frank decided to become a professional soccer player. In January, he joined a soccer club where he could train to become a professional soccer

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29. Frank decided to become a professional soccer player. In January, he joined a soccer club where he could train to become a professional soccer player. After training for the first 7 months of the year, Frank received a contract and began to play professionally, however, he continued to use the club for ongoing training and practice. Frank paid $12,000 for the year membership for the club ($1,000/per month), He purchased equipment in January costing $1,500. Replacement equipment after receiving the contract cost $500, and transportation to out-of-town games cost $800 for the remainder of the year. How much can Frank deduct as business expenses? a. $800 b. $6,300 c. $7,800 d. $12,800 30. Mr. R is a self-employed over-the-road truck driver who uses the cash method of accounting. Which one of the following expenses paid during the current year would be deductible on Mr. R's Schedule C? a. Penalty for late delivery of cargo paid to Corporation V b. Fine for speeding in business trip paid to City A. c. Overweight fine paid to City B. d. Contribution to Bull Moose political party in an attempt to receive trucking contract? 31. All of the following expenses paid or incurred in the course of operating a business are deductible as business expenses except: a. Costs incurred by a public utility company in connection with an appearance at a public utility commission rate making hearing. b. Political contributions. c. Penalty for nonperformance of contract. d. Reimbursements to job applicants in connection with interviews. 32. In the current year, Mr. X incurred $12,000 in qualified expenses to make a public transportation vehicle used in his business more accessible to handicapped people. Mr. X may deduct the expenses in the current year? a. True b. False

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