Self-employed attorney

Assignment Help Financial Management
Reference no: EM131977751

Duncan Devious (age 52) is a self-employed attorney. Duncan loves to be noticed in public and, therefore, he drives a 7,000-pound, military-type, crossover SUV, the only vehicle he owns. When you are preparing his tax return, you notice that he claims 90 percent of his total auto expenses as a business deduction on his Schedule C and 10 percent as personal use, with total miles driven in 2017 as 10,000. You note from his home and office addresses on his tax return that he lives approximately 15 miles from his office. The total of the expenses (i.e., gas, oil, maintenance, depreciation) he claims is $31,200. He does not have a mileage log to substantiate the business use of the SUV. Would you sign the Paid Preparer’s declaration (see example above) on this return? Why or why not.

Reference no: EM131977751

Questions Cloud

What is cloud computing : 1. What is cloud computing? 2. What are the key characteristics of cloud computing?
Discuss the ethical implications in case : Write a report on the above case study that addresses the issues; and carry out research on project management practice and discuss the ethical implications
Find the total time it takes to access a data block : Average seek time of a hard disk was found to be 10 ms. Its rotational speed is given as 50 s-1 and the number of sectors is 8.
How to understand using collections in java : How to understand using collections in java? When are restrictions applied to collections (ie: when functions are static)?
Self-employed attorney : Duncan Devious (age 52) is a self-employed attorney. Would you sign the Paid Preparer’s declaration (see example above) on this return?
Compute the present value of each alternative : Assuming you could earn 6 percent annually, compute the present value of each alternative: (Do not round intermediate calculations. Round your final answers).
Calculate the payback period and the NPV and the IRR : McGilla Golf has decided to sell a new line of golf clubs. Calculate the payback period, the NPV, and the IRR.
How much will you have in the account on your birthday : Your grandparents deposit $2,000 each year on your birthday, starting the day you are born, in an account that pays 7% interest compounded annually.
What level of pretax cost savings do we require for project : A proposed cost-saving device has an installed cost of $666,000. What level of pretax cost savings do we require for this project to be profitable?

Reviews

Write a Review

Financial Management Questions & Answers

  Calculate her annual profit and return on investment

Calculate her annual profit and return on investment, assuming that she (A) pays the full $200,000 from her own funds or (B) borrows $150,000 at 5 percent. Then discuss the effect, if any, of leverage on her rate of return.

  Sound trustworthy

Would you buy a used car from Bank of America's executives you heard on the conference call in April, in other words, did he/she/they sound trustworthy?

  Non-callable bonds to finance its business expansion

TSU Farms sold $50,000,000 worth of 8.0% coupon rate, 10-year maturity, $1000 par value, AA-rated; non-callable bonds to finance its business expansion

  What is the standard deviation of these returns

Kelly decided to accept the risk and purchased a high growth stock. Her returns for the past five years are 48 percent, 39 percent, -56 percent, 61 percent, and -24 percent, respectively. What is the standard deviation of these returns?

  How much will you pay in capital gains taxes

If you buy a home for $100,000 Mortgage, Insurance & Taxes costs you $1,000 a month Your Mortgage interest rate is 4% and you had a down payment of $3,000 It costs you roughly $3,000 a year for maintenance and upkeep. You sell your home after 5 years..

  Debt security with a purpose of consolidating

Assume that in 2007 the U.S. Government issued a debt security with a purpose of consolidating all of the federal national debt. At the time of the issue, each security was priced at $15,000 and promised to pay 10% coupon rate indefinitely, just as i..

  Return to the sport hotel example in the course notes

Return to the Sport Hotel example in the course notes and in Chapter 9. Suppose that everything stays the same as was presented in the original problem (for example, the costs each year, the value of the hotel under the two scenarios, and the probabi..

  What happens to the volume of trade

Show that country can gain from trade even if country does not change its production point.- What happens to the volume of trade as the country's position shifts from that shown in part a to that shown in part b ?

  Equity is what portion of the capital structure of the firm

What is the cost of equity using the dividend growth model? Equity is what portion of the capital structure of the firm?

  What amount would you need to invest each year

What amount would you need to invest each year, including today (Year 0 through 45), to fully fund your $6,000,000 retirement goal?

  Operating expenses-percent-of-completion method

How are the operating expenses (not included in the cost of goods sold) handled under the installment-sales method of accounting? How are they included in the percent-of-completion method? How are operating expenses handled under the completed contra..

  Calculate the quoted futures price for the contract

The conversion factor for the bond is 1.2191. The current quoted bond price is $137. Calculate the quoted futures price for the contract.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd