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Which of the following may be deductible in 2020? a. Interest on a loan used in a hobby. Ob. Fines paid for violations of the

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Which of the following may be deductible in 2020? a. Interest on a loan used in a hobby. Ob. Fines paid for violations of the law. Oc. Bribes that relate to a U.S. business. Od. None of these choices are correct. Exercise 6-1 (Algorithmic) (LO. 1) Last year, Aleshin identified $8,200 as a nonbusiness bad debt. In that tax year before considering the tax Implications of the nonbusiness bad debt, Aleshia had $16,400 of taxable income, of which $5,740 consisted of short-term capital gains. This year, Aleshia collected $6,888 of the amount she had previously identified as a bad debt. Determine Aleshla's tax treatment of the $6,888 received in the current tax year. Aleshis includes : 6,888 of the collection as Prer Feedback MacBook Air go 000 000 Ft FS F6 F7 > F FIO FI A $ 4 Gde * 6 & 7 8 9 0 Henrietta, the owner of a very successful hotel chain in the Southeast, is exploring the possibility of expanding the chain into a city in the Northeast. She Incurs $35,500 of expenses associated with this investigation. Based on the regulatory environment for hotels in the city. she decides not to expand. During the year, she also investigates opening a restaurant that will be part of a national restaurant chain. Her expenses for this are $54,000. She proceeds with opening the restaurant, and it begins operations on May 1. Determine the amount Henrietta can deduct in the current year for investigating these two businesses. In your computations, round the per-month to two decimal places and use rounded amount in subsequent computations. If required, round your final answers to the nearest dollar. a. The deductible amount of investigation expenses related to expansion of her hotel chain into another city: 35,500 b. The deductible amount of investigation expenses related to opening a restaurant: F SVO F11 $ 4 1 % 5 * 6 & 7 ( 9 + 8 0 Il R T Y U O P

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