Question

d. suppose that san francisco was melissa's permanent residence and business location. she attended the conference in san francisco and paid $405 for the registration fee. she drove 117 miles over the course of three days and paid $152 for parking at the conference hotel. in addition, she spent $625 for breakfast and dinner over the three days of the conference. she bought breakfast on the way to the conference hotel, and she bought dinner on her way home each night from the conference. what amount of these costs can melissa deduct as business expenses?

Answer 1

Melissa can deduct $869.50 as business expenses.

Step-by-step explanation:

When determining which costs Melissa can deduct as business expenses, we need to consider that expenses must be ordinary, necessary, and directly related to her business. Based on the given information, Melissa can deduct the following costs:

1. Registration fee: Melissa can deduct the entire $405 registration fee as a business expense.
2. Parking: Melissa can deduct the $152 parking fee as a business expense.
3. Meals: Melissa can deduct 50% of the $625 spent on breakfast and dinner, which amounts to $312.50.

Therefore, Melissa can deduct a total of $869.50 as business expenses.