$6.($LO$2)$ Hal Capone owns several businesses in the downtown area. One business he owns is a restaurant that also provides illegal cash laundering services. Hal had the following tax items this year:

Revenue

$$780,000$

Cost of goods sold

$$330,000$

Wages paid

$$190,000$

Depreciation

$$36,000$

Utilities

$$1,800$

Office expense

$$750$

Accounting fee

$$2,250$

Which expenses can Hal deduct from the pawn shop and cash laundering services?

If Hal$$s business was drug trafficking rather than cash laundering, what expenses would be deductible?