Reference no: EM132705349

Problem - Teri Kataoka is self-employed as a professional golf instructor. She uses the cash method of accounting and her Social Security number is 466-47-8833. Her principal business code is 812990. Teri's business is located at 1234 Pinecrest Dr., Kennesaw, GA 30152. During 2018, Teri had the following income and expenses:

Fees from golf lessons $40,125

Expenses:

Car mileage (5,571 business miles) 3,036

Business liability insurance 475

Office expense 660

Rent on office space 2,700

City business license 250

Travel expense 3,000

Meals (deductible portion) 985

Utilities 1,015

Teri bought her car on January 1, 2018. In addition to the business miles listed above, she commuted 1,200 miles and she drove 5,000 miles for nonbusiness purposes. Complete Schedule C for Teri showing her net income from self-employment. Make realistic assumptions about any missing data.