Reference no: EM131573455

Question - X Co was incorporated on June 1, but did not start business until September 1. It adopted a fiscal year ending March 31, coinciding with the end of its natural business cycle. In connection with organizing the business, co incurred the following;

Legal fees for incorporating 8000

accounting fees for opening corporate books 400

Tax planning advice 300

Printing and issuing stock certificates  50

incorporation fees to state 100

Temporary director's fees  2000

Legal fees for transfer of corporate assets to the corp 500

What is the amount of organizational expenses and the amount deductible in the first year?