Question 1 before considering any of the subsequent jacks

Assignment Help Financial Accounting

Reference no: EM13349467

Question :

1. Before considering any of the subsequent, Jack's AGI was $80,000. As an employee, Jack incurred the subsequent expenses-

Transportation, $18,000
Meals & entertainment, $12,000

Jack's employer reimbursed $21,000 of the $36,000 expenses incurred. Jack was required to give the employer a full accounting, but the reimbursement did not identify which expense was being reimbursed. And, in the event that the reimbursement exceeded the expense incurred, Jack would have to repay the overpayment. What is the amount and character (i.e., for AGI or ID) of Jack's deduction? Be sure your answers reflect the %-of-AGI limit, if applicable.

1. ____ Deduction for AGI

2. ____ Itemized deduction (after consideration of the %-of-AGI limit)

A. $30,000

B. $28,400

C. $5,600

D. $27,980

E. $7,200

F. None of the other answers is correct

G. $21,000

H. $0

3. Robby owns a small condo near the beach. Through the year, the home was used as follows-

Rented out for fair rent 36 days (rental income total, $10,800)
Used for personal vacations 18 days

The expenses relating to this home were as follows-

Mortgage interest $20,000
Property taxes 7,000
Utilities & phone 2,500
Insurance 5,000
Depreciation on structure 6,000

Evaluate the amount and character of Robby's deduction(s) for this vacation home considering the cost allocation method that the IRS prefers is used.

1. ___ Robby's deduction for AGI is -

2. ___ The amount that Robby can take as an itemized deduction is -

A. $9,000

B. $24,337

C. $27,000

D. $0

E. $18,000

F. $16,200

G. $10,800

H. None of the other answers is correct

I. $40,500

Reference no: EM13349467

Questions Cloud

Question wake construction installs and manufactures : question wake construction installs and manufactures standard and custom-made cabinetry for residential homes. last

Question1 what are the methods of defense and provide : question1. what are the methods of defense and provide examples? how do you deal with the damage?2. explain fundamental

Question slagle corporation is a big manufacturing : question slagle corporation is a big manufacturing organization. over the past years it has obtained a significant

Questionexamine the key components of a decision support : questionexamine the key components of a decision support system and issues facing an implementation of dss. what

Question 1 before considering any of the subsequent jacks : question 1. before considering any of the subsequent jacks agi was 80000. as an employee jack incurred the subsequent

Question 1the challenge of tourism strategies is about : question 1the challenge of tourism strategies is about diversifying into new markets. the government of mauritius had

Question 1 karen is single and is an active participant in : question 1. karen is single and is an active participant in her employer retirement plan. she contributed 5500 the

Question1 define defense in depth and explain the different : question1. define defense in depth and explain the different layers.2. what is leading security principle in

Questionstatus your own position privacy in age of the : questionstatus your own position privacy in age of the internet and offer a defense for it. using ethical dialectical

User Account

All Pages