46. Ralph operates a business that acts as a sales representative for firms that produce and sell precious metals to electronics manufacturers. Ralph contacts manufacturers and convinces them to sign contracts for the delivery of metals. Ralph’s company earns a commission on the sales. This year, Ralph contacted a jeweler to engrave small lapel buttons for each of his clients. Ralph paid $20 each for the lapel buttons and the jeweler charged Ralph an additional $7 for engraving.

The electronics manufacturers, however, prohibit their employees from accepting gifts related to sales contracts. Can Ralph deduct the cost of the lapel buttons as business gifts?