Exercise 21-20(Algorithmic)(LO.4) Candlewood LLC started business on December 1, and it adopted...
80.2K
Verified Solution
Link Copied!
Question
Accounting
Exercise AlgorithmicLO
Candlewood LLC started business on December and it adopted a calendar tax year. During the year, Candlewood incurred $ in legal fees for drafting the LLCs operating agreement and $ in accounting fees for tax advice of an organizational nature, for a total of $ of organizational costs. Candlewood also incurred $ of preopening advertising expenses and $ of salaries and training costs for new employees before opening for business, for a total of $ of startup costs. The LLC wants to take the largest deduction available for these costs.
If required, round any division to six decimal places and use in subsequent computations. Round your final answers to the nearest dollar.
How much can Candlewood deduct as organizational expenses? As startup expenses?
The LLC may deduct $fill in the blank
as organizational expenses and $fill in the blank
as startup expenses.
Answer & Explanation
Solved by verified expert
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Zin AI - Your personal assistant for all your inquiries!
