Tom operates an illegal drug operation and incurred the foll…
Tom operates an illegal drug operation and incurred the following expenses: Salaries $ 75,000Illegal kickbacks 20,000Bribes to border guards 25,000Cost of goods sold 160,000Rent 8,000Interest 10,000Insurance on furniture and fixtures 6,000Utilities and telephone 20,000 Which of the following amounts reduces his taxable income?