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Question
Ed owns Oak Knoll Apartments. During the? year, Fred, a? tenant, moved to another state. Fred paid Ed $1,000 to cancel the? two-year lease he had signed. Ed subsequently rented the unit to Wayne. Wayne paid the first and last? months' rents of $ 800 each and a security deposit of $ 500. Ed also owns a building that is used as a health club. The club has signed a? fifteen-year lease at an annual rental of $17,000. The owner of the club requested that Ed d install a swimming pool on the property. Ed declined to do so. The owner of the club finally constructed the pool himself at a cost of $ 15 comma 000 $15,000.
Requirement
What amount must Ed include in gross? income?
In addition to the regular rental income from the apartment and health club Ed must include the following in gross income. ?(If an input field is not? used, leave the input? field(s) empty; do not select a label or enter a? zero.)
Source of income
Income
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