7. taxpayer is a corporation dedicated to the advertising and marketing business. During taxable year 20X1, carried out the following activities: He paid $25,000 to the Captain of the boat La Merced. The boat belongs to the corporation and is used for activities with the objective of entertaining the corporation's clients, discussing advertising campaigns with clients and presenting possible campaigns to prospective clients. He bought property insurance for $3,000 from a highly prestigious international insurance company that does not have permission to operate in Puerto Rico. It disbursed the following amounts in travel for its marketing managers to serve a client in Spain: Hotel: $15,000 Transportation: $10,000 Food: $4,000 What amount can the Taxpayer claim as an ordinary and necessary expense for taxable year 20X1? Select one:

a.$57,000

b.$13,500

c.$38,500

d.$32,000

9. taxpayer is a company dedicated to the manufacture of electronic equipment. 10 employees work in the company. During taxable year 20X1, the company paid compensation to its employees for the work performed of $200,000. During 20X1 the company exceeded its sales expectations. To compensate its employees for this achievement, the entity gave each employee $2,000. On the other hand, the company hired a firm of engineers who offer quality control services ("Quality Control"). Personnel from the engineering firm visited the Taxpayer's company on four (4) occasions during 20X1 to offer their services. The total paid to the engineering firm is $12,000. Determine what amount the Taxpayer can deduct as Salary Expense for 20X1.

to.$212,000

b.$220,000

c.$200,000

d.$232,000