Central Products Ltd. is in the process of completing its 20X0 financial statements and tax return. A junior accountant has given you a list of items that he does not know how to treat for tax purposes. The list includes the following eight items:

1. Purchase price of a patent giving the company exclusive rights to manufacture a product………………$120,000

2. Cost of annual dues to a golf club for three senior salespeople to entertain existing and potential customers………………        8,000

3. The union contract expired four months before the year end and bar gaining is still in process. A 3% wage increase is expected, and the company has recorded a reserve to cover the four-month period………………            60,000

4. Legal fees paid for making a representation to a provincial government against a proposal to introduce a payroll tax……………… 15,000

5. Donations paid to a registered charity………………        10,000

6. Advertising in a foreign trade newspaper that was distributed to

Canadian customers……………… 4,000

7. Travel costs (airfare and lodging) for a senior executive to visit a Foreign supplier to inspect and sign a purchase agreement for a new manufacturing machine. The machine was delivered and used in 20X0 ………………            3,000

8. Legal, accounting, and printing costs to prepare a prospectus offering common shares for sale to the public……………… 32,000

Required:

Describe how each of the above items will be treated for tax purposes for the 20X0 taxation year.