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Hammer Corp started business on July 1, 20X4, and elected to amortize its organizational expenses of $40,000. What is the maximum deduction that can be
Hammer Corp started business on July 1, 20X4, and elected to amortize its organizational expenses of $40,000. What is the maximum deduction that can be claimed for organizational expense on Hammer's 20X5 federal income tax return assuming that Hammer Corp expensed the additional allowable $5,000 in Year 20X4?
A. | $2,333 | ||
B. | $2,666 | ||
C. | $4,000 | ||
D. | $8,000 |
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