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Why do the different classifications matter

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Question: Course: Federal Taxes & Management Decisions

Start up cost identification

As a practical matter, new entities will incur legal and accounting fees for all sorts of reasons (some related to organization and start-up, others related to day-to-day operations). How do you identify which of these expenses is treated as start-up versus organization or operational? Why do the different classifications matter?

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Reference no: EM132006677

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