tax accounting

In order for a business expense to be deductible It must be ordinary, necessary, and resouble. Explain what these termen Select from the explanations below Click the icon to view the explanations Explanations Explanation Ordinary Necessary Reasonable An expense that is defined as appropriate or hout, however, it need not be indispensable. The test here is whether areasonable business person would have incurred the same expenditure b. An expense that provides a permanent improvement or betterment that increases the value of any property c. An expense that is roonable in amount and that beans a masonable and dose or direct relationship to the income-producing activity of property must be customary or usual to the particular activity d. An expense that is allocated or related to tax-exempt income . An expense that is reasonable in amount. It must not be excessive or unusual when compared to similar expenses made by simlar businesses Print Done