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Tax Drill - Deductions from Gross Income Indicate whether the following statements are "True" or "False" regarding deductions from gross income. a. Nonbusiness expenses are expenses incurred in connection with an income-producing activity that does not qualify as a trade or business. Such expenses are deductions for adjusted gross income. b. As a general rule, personal expenditures are disallowed as deductions in arriving at taxable income. c. AGI is an important subtotal that serves as the basis for computing percentage limitations on certain itemized deductions. d. In lieu of claiming itemized deductions, taxpayers will use the standard deduction