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Cardinal LLC incurred $20,000 of startup expenses, $3000 of organizational costs, and paid $10,000 for a machine for the LLC. Which of the following statements
Cardinal LLC incurred $20,000 of startup expenses, $3000 of organizational costs, and paid $10,000 for a machine for the LLC. Which of the following statements is correct regarding these three amounts? a. Cardinal can deduct $10,000 of the startup expenses. b. Cardinal can amortize $10,000 of the startup expenses over 180 months. c. Cardinal may deduct the full amount of the organizational costs. d. Cardinal can capitalize the $10,000 machine as a depreciable asset. e. All of the above statements are true.
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