What portion of Justin trip is regarded being for business

Assignment Help Accounting Basics
Reference no: EM132658017

Problem - On Thursday, Justin flies from Baltimore (where his sole proprietorship office is located) to Cadiz (Spain). He conducts business on Friday and Tuesday; vacations on Saturday, Sunday, and Monday (a legal holiday in Spain); and returns to Baltimore on Thursday. Justin was scheduled to return home on Wednesday, but all flights were canceled due to bad weather. As a result, he spent Wednesday watching floor shows at a local casino.

a. For tax purposes, what portion of Justin's trip is regarded as being for business?

b. Suppose Monday was not a legal holiday. Would this change your answer to part (a)? Explain.

c. Under either part (a) or (b), how much of Justin's airfare qualifies as a deductible business expense?

Reference no: EM132658017

Questions Cloud

How much may Stork deduct for this event : The game was preceded by a bona fide business discussion, and all expenses are adequately substantiated. How much may Stork deduct for this event
Determine how much qualifies as a deduction for AGI : Problem - In each of the following independent situations, determine how much, if any, qualifies as a deduction for AGI under § 222
What happens to a country imports when currency appreciates : To complete journal assignment, Explain why or why not: "A strong dollar is not desirable to U.S. businesses, while it may be to businesses in other countries."
How much of these expenses might qualify as deductions : Elijah is employed as a full-time high school teacher. How much, if any, of these expenses might qualify as deductions for AGI
What portion of Justin trip is regarded being for business : On Thursday Justin flies from Baltimore (where his sole proprietorship office is located) to Cadiz. What portion of Justin trip is regarded being business
How financial statements are connected to each other : Identify the company's net income (income statement), total assets (balance sheet), and total net cash flow (statement of cash flow).
How much can Kim deduct as to the trip : Presuming no reimbursement, how much can Kim deduct as to the trip? Would the tax treatment of Kim's deduction differ
Executive program practical connection : At UC, it is a priority that students are provided with strong educational programs and courses that allow them to be servant-leaders
How financial statements are connected to each other : Identify the company's net income (income statement), total assets (balance sheet), and total net cash flow (statement of cash flow).

Reviews

Write a Review

Accounting Basics Questions & Answers

  Calculation regarding the bond equivalent yield

You have a U.S. Treasury bill with 112 days to maturity quoted at a discount yield of 3.82 percent. assume a $1 million face value What would the bond equivalent yield?

  What does the capital budgeting model

What does the capital budgeting model consist of and how does it work: including the process used, as well as the implications for the decision-making process

  What is the cost of the truck that should be recorded

Bought a delivery truck and agreed to pay $59,000 at the end of three years. What is the cost of the truck that should be recorded at the time of purchase

  Compute the overall effects of these transactions

The net income of Steinbach & Sons, a landscaping company, decreased sharply during 2016. Compute the overall effects of these transactions on the company's

  How should schedule the time for a writing project

How should you schedule your time for a writing project in an unfamiliar subject area when you have no idea how long it will take to complete the research

  Tfc decision to expand to the west coast market

From the scenario, cite your forecasting conclusions that support TFC's decision to expand to the West Coast market. Speculate as to whether or not the agency conflict discussed in the scenario could become a roadblock to your conclusions. Prov..

  Calculate the amount of overhead applied to job

Recently Job X387 was completed and required 240 direct labor-hours. Calculate the amount of overhead applied to Job X387

  What are the cash flow savings or additional cost

Should Hercules replace the existing computer system with the new system? What are the cash flow savings or additional cost over the 5 years

  Financial statements for a sole proprietorship

_____ would not appear on the financial statements for a sole proprietorship. A. Cost of Goods Sold B. Unearned Sales Revenues C. Accumulated Depreciation D. Paid-in Capital

  What is the full selling price of a globe

Management estimates that the variable cost of the globe will be $62 per unit, Assuming sales of 1,200 units, what is the full selling price of a globe

  Amount of depreciation expense problem

The lease agreement provides for the transfer of title of the asset to the lessee at the end of the lease term. What amount of depreciation expense would the lessee record for the first year of the lease?

  Prepare a flexible budget and a performance report

Sales for June were 90% of budgeted. Prepare a flexible budget and a performance report for the month of June

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