agent or a privately owned hospital in Idaho. Business Investigation Expenditures. During January and February of the current year, Big Bang LLP incurs $13,000 in travel, feasibility studies, and legal expenses to investigate the feasibility of opening a new entertainment gallery in one of the new suburban malls in town. Big Bang already owns two other entertainment galleries in other malls in the area. a. What is the proper tax treatment of these expenca if Bio Banc decides Business Investigation Expenditures. Assume the same facts as in Problem I:6-40, except that Big Bang LLP incurs $51,000 in expenses, and it does not already own the other entertainment galleries and it does not own anything similar. a. What is the proper tax treatment of these expenses if Big Bang does not open the new gallery? b. What is the proper tax treatment of these expenses if Big Bang decides to open the new gallery on May 1 of the current year and makes the appropriate election under Sec. 195?