Priscella pursued a hobby of making bedspreads in her spare time. Her AGI before considering the...
Priscella pursued a hobby of making bedspreads in her spare time. Her AGI before considering the hobby is $40,000. During 2019 she sold the bedspreads for $10,000. She incurred expenses as follows:
Supplies $4,000
Interest on loan to get business started $500
Advertising $6,500
Assuming that the activity is deemed a hobby, how should she report these items on her tax return?
Homework Answers
She has to Include the income sold for bedspreads of $ 10,000.. We cant deduct nothing for Adjusted Gross Income. However she can claim itemized deductions of $10,000 with subject to deductions of 2% from it
Add Answer to:
Priscella pursued a hobby of making bedspreads in her spare
time. Her AGI before considering the...
43. Priscella pursued a hobby of making bedspread ponued a hobby of making heeads in ber e Her AG before considerin...
43. Priscella pursued a hobby of making bedspread ponued a hobby of making heeads in ber e Her AG before considering the hobby is $40.000 During 2019 she sold the bedspreads for $10,000. She incurred expenses as follows Supplies Interest on loan to get business started Advertising $4,000 500 6,500 Assuming that the activity is deemed a hobby, how should she report these items on her tax return a. Include $10,000 in income and deduct $11,000 for AGI b. Ignore...
now quipcu. 7.34 Hobby Expenses-Effect on AGI, C is a successful attorney and stock car racing...
now quipcu. 7.34 Hobby Expenses-Effect on AGI, C is a successful attorney and stock car racing enthusiast. This year she decided to quit watching the races and start participating. She purchased a car and entered several local races. During the year, she had the following receipts and disbursements related to the racing activities: Race winnings ........ $3,000 Property taxes. 2,800 Fuel, supplies, maintenance..... 1,000 Her AGI exclusive of any items related to the racing activities is $100,000. a. Indicate the...
Rachel Schutz is a high school English teacher. In her spare time, she likes to make...
Rachel Schutz is a high school English teacher. In her spare time, she likes to make her own body lotion, lip-gloss, and bath and shower gel. She uses the bath products herself and gives them to her friends and relatives as gifts. In 2018, Rachel started attending arts and crafts festivals three or four times a year to sell her products. She hands out her business card so her customers can buy directly from her by phone or email. In...
Question 8 (1 point) Sadie is a full time nurse and a part time painter. Her...
Question 8 (1 point) Sadie is a full time nurse and a part time painter. Her painting qualifies as a hobby. Her gross income from painting is $7,000. Her expenses include $800 of interest on inventory loans, $5,200 of expenses in conducting business activities, and $2,000 of depreciation of equipment. Which of the following statements about Sadie's hobby activity is/are correct? Sadie will not recognize any taxable income as a result of her hobby. Sadie can deduct the interest of...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
, pomotional, or both? Why? stical Thinking pacision-Making 5 White bon exceptional truck and Making Across...
, pomotional, or both? Why? stical Thinking pacision-Making 5 White bon exceptional truck and Making Across the Organization as Janitorial Service was started 2 years ago by Lynn Sanders. Because business Sally good, Lynn decided on July 1, 2015 to expand creations by acquiring an ad- hiring two more assistants. To finance the expansion Lynn obtained on July 1, 2015, hank loan, payable $10,000 on July 1, 2016, and the balance on July 1, 2017. The terms the borrower to...
Shauna Coleman is single. She is employed as an architectural designer for Streamline Design (SD). Shauna...
Shauna Coleman is single. She is employed as an architectural designer for Streamline Design (SD). Shauna wanted to determine her taxable income for this year. She correctly calculated her AGI. However, she wasn’t sure how to compute the rest of her taxable income. She provided the following information with hopes that you could use it to determine her taxable income. Shauna paid $4,680 for medical expenses for care related to a broken ankle. Also, Shauna’s boyfriend, Blake, drove Shauna (in...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. INCOME STATEMENT Tiffany's Catering Service For the Year Ended December 31, 2019 Net Sales(revenues) Expense Food 93,000 During the spring semester of her senior year, Tiffany decided to open a catering service business. She...
43. Priscella pursued a hobby of making bedspread ponued a hobby of making heeads in ber e Her AG before considering the hobby is $40.000 During 2019 she sold the bedspreads for $10,000. She incurred expenses as follows Supplies Interest on loan to get business started Advertising $4,000 500 6,500 Assuming that the activity is deemed a hobby, how should she report these items on her tax return a. Include $10,000 in income and deduct $11,000 for AGI b. Ignore...
now quipcu. 7.34 Hobby Expenses-Effect on AGI, C is a successful attorney and stock car racing enthusiast. This year she decided to quit watching the races and start participating. She purchased a car and entered several local races. During the year, she had the following receipts and disbursements related to the racing activities: Race winnings ........ $3,000 Property taxes. 2,800 Fuel, supplies, maintenance..... 1,000 Her AGI exclusive of any items related to the racing activities is $100,000. a. Indicate the...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
Part 2: Below is a fact scenario. Using the bou provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. During the spring semester of her senior year, Tiffany decided to open a catering service business. She started business on January 1, 2019. She rented a small kitchen space and purchased a stove, supplies,...
, pomotional, or both? Why? stical Thinking pacision-Making 5 White bon exceptional truck and Making Across the Organization as Janitorial Service was started 2 years ago by Lynn Sanders. Because business Sally good, Lynn decided on July 1, 2015 to expand creations by acquiring an ad- hiring two more assistants. To finance the expansion Lynn obtained on July 1, 2015, hank loan, payable $10,000 on July 1, 2016, and the balance on July 1, 2017. The terms the borrower to...
Part 2: Below is a fact scenario. Using the box provided to the right, prepare an income statement for Tiffany's Catering Service for the year ending December 31, 2019, demonstrating that Tiffany earned income of $93,900. Assume the company will not be subject to income tax. INCOME STATEMENT Tiffany's Catering Service For the Year Ended December 31, 2019 Net Sales(revenues) Expense Food 93,000 During the spring semester of her senior year, Tiffany decided to open a catering service business. She...
Most questions answered within 3 hours.
-
From the literature (reference your sources): What are the
lattice parameters of calcite and aragonite? Why...
asked 30 minutes ago -
Your system is rejecting the question am asking which is
preceded by a case study. It...
asked 34 minutes ago -
3. On January 2, 2000, Larry creates a trust with himself as
trustee. Larry as trustee...
asked 31 minutes ago -
A member of the volleyball team spikes the ball. During this
process, she changes the velocity...
asked 38 minutes ago -
Are adult gamers less likely to use a gaming console (Xbox,
PlayStation, Wii, etc...) than teen...
asked 1 hour ago -
The University of
Texas recently reported that 43% of college students aged 18-24
would spend their...
asked 1 hour ago -
The length of stay at a specific emergency department in
Phoenix, Arizona, in 2009 had a...
asked 58 minutes ago -
. Please give the mechanism for this type of problem. Step by
Step
The toxin that...
asked 1 hour ago -
If you have a 1M stock solution and you want to dilute 1 :10
with water,...
asked 1 hour ago -
In a load instruction, the effective address is obtained by
A) Retriving the address from a...
asked 1 hour ago -
Use the following information to answer this question.
Windswept, Inc. 2017 Income Statement ($ in millions)...
asked 1 hour ago -
A mutual fund salesperson has arranged to call on four people
tomorrow. Based on past experience...
asked 1 hour ago