Natalie (a CPA), Mathew (an attorney), Jacob (a banker), and Avery (an insurance agent) all live and work in the same community. They have been friends since college. Every Friday, they have lunch together and make it a point to discuss some business matters. They take turns paying for the group’s lunches, and each deducts the amount he or she paid for the lunch as an entertainment expense.

Presuming that one of the four is audited, do you anticipate any difficulty with the IRS? Explain. Use in-text citations to support content.

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