What amount of these investigation costs can Angel deduct if she opens the bookstore on August 1, 2019.
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While she was a college student, Angel lived by a bookstore located near campus. She thinks a bookstore located on the other side of campus would be successful. She incurs expenses of $42,800 (legal fees, accounting fees, marketing survey, etc.) in exploring its business potential. Her parents have agreed to lend her the money required to start the business. What amount of these investigation costs can Angel deduct if she opens the bookstore on August 1, 2019.
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- (a) Sybil is a florist who operates a shop in Daly City. She is considering opening a restaurant in downtown Oakland. In 2021, she spent $51,200 on market research to determine demand for a restaurant in downtown Oakland. Based on the research, she decides to open the shop on March 1, 2021. May she deduct the $51,200? If so, how much may she deduct in 2021? (b) Sybil is also considering opening a flower shop in downtown San Francisco. She spent S52,000 on market research to determine demand for flowers in downtown San Francisco. Based on the research, she decides not to open the flower shop. May she deduct the $52,000? If so, how much may she deduct in 2021?preti is working at the local private hospital as an admin assistant. She would like a career in nursing so she enrolled in a Bachelor of Nursing degree hoping to eventually get a job as a nurse at this same private hospital. During the 2020 tax year Preti spent $20,000 on university fees (not HECS) and $500 on various books and stationery. She also studied a refresher course on hospital administration which cost $2,500 (not HECS) during the 2020 tax year. Advise Preti what tax deductions she may be able to claim for the year ended 30 June 2020. Your answer should refer to decided cases and legislationDanny owns an electronics outlet in Dallas. In 2021, he paid $620 to register for a four-day course in management in Chicago. Danny paid $780 in airfare. After the course, Danny spent the last day sightseeing. During the trip, Danny paid $184 per night for five nights' lodging, $180 per day for meals in restaurants, and $120 per day for a rental car. What amount of these travel expenditures may Danny deduct as business expenses? (Leave no answers blank. Enter zero if applicable.) Danny may deduct travel expenses of $
- On March 10, 2019, Elizabeth, a college professor, purchased a house for $300,000. She did not move into the house until August 8, 2019. On August 1, 2020, she accepted a po-sition as a visiting professor at Hogwatts University for one year and moved to Liverpool where she rented an apartment. While away at Hogwatts, two of her former students lived in the house but did not pay rent. She returned to the house on August 1, 2021, and lived in the house until July 15, 2022, when she sold the house for $500,000. The realtor’s commission was $35,000. Determine her recognized gain.Leslie Rodgers is 39 years old, single, and has decided to get a Masters of Divinity degree. During the year, Leslie incurs the following expenses: $7,200 in tuition and fees, $550 in books, and $3,800 in room and board at Western Theological Seminary in Holland, Michigan. 4) if Leslie's AGI is $44,600, what is the maximum education credit that can be claimed in 2020? If Leslie's AGI is $64,600, what is the maximum education credit that can be claimed in 2020? a)Rochelle needed to borrow $3,000 for three months in order to pay for college expenses while waiting for her scholarship to arrive. After Rochelle filled out the loan application, the loan officer at the bank asked her if she would like to pay the interest up front or at the maturity of the note. He went on to explain that it didn’t make a difference, but he preferred that she pay it up front because it would make his paperwork easier. He also told Rochelle that the interest rate and amount would be the same. Rochelle agreed, signed the three-month, 8%, discounted note and left with a check for $2,940. Did the loan officer offer Rochelle an acceptable explanation of the interest rate? Justify your answer. What is the effective rate of interest on Rochelle’s loan? Round to the nearest tenth of a percent.
- On September 1, 2021, Jennifer Wells moves from London to Oakville at the request of her employer. Prior to this date, she spent $875 on a house hunting trip to Oakville. However, she was not successful and, given this, she has signed a one-year lease for an apartment at her new location. The legal fees and real estate commissions associated with the sale of her London house were $8,500. The actual costs of the move, including amounts paid to a moving company, totaled $15,230. Her employer agreed to pay $8,000 of her moving costs. Ms. Well's salary for 2021 was $45,000. Determine Ms. Well's maximum moving expense deduction for 2021, as well as any carry forward that is available. Payment From Employer House Hunting Trip Balance Cost Of Selling London House Moving Costs Available Deduction Income At New Location Carry ForwardUnfortunately, Betty’s business was not profitable. She decided to sell the business andseek work in a different industry. She sold her business in May 2020 after spending$22,000 on advertising the sale with an estate agent. Unfortunately, the sales proceedswere not sufficient to discharge her existing bank loan and she was required to makeregular monthly interest payments on the outstanding balance.Please discuss whether the advertising expenses would be deductibleGinny is an accountant by trade, she paid $1,000 each year to join as CPAmember. She also has a knack for programming; hence she also joins theComputer Associates membership for $500 per year as she planned to find a newcareer as a programmer. Discuss her eligibility whether she can deduct bothmembership fees from her assessable income!
- In 2020, Regina moved across the country from the east coast to the west coast. She was moving because the advertising agency she worked for wanted her to relocate to work with a big new client the company had landed on the west coast. Her company reimbursed $7,500 of moving expenses (her total cost for the move), and her total wages for the year were $110,000 While living on the west coast, she began volunteering for a children's hospital doing public relations for their office. She estimated her time volunteering at the hospital during the year was worth $7,000. She also paid $350 in professional ducs to the American Association of Advertising Agencies the beginning of the year, which was rimbursed by her employer. Determine Regina AG for 2020. a. None of the above. b. $117,500 c. $110.150 d. $110,000 e. $117,150In 2021, Carlos drives from his home in Los Angeles to Oregon to consult with a client. He works for 1 day and spends 3 days enjoying Oregon since the consultation was right before a 3-day weekend. His expenses were $175 to drive to Oregon and back, $600 for lodging, $50 for food from a convenience store on the day that he worked, and $125 for restaurant food on the other 3 days. How much of his travel expenses are deductible? $800 b.$350 c.$0 d.$200 e.$175Taylor, age 18, is claimed as a dependent by her parents. For 2022, she has the following income: $5,600 wages from a summer job,$1,300 interest from a money market account, and $2,100 interest from City of Chicago bonds.If required, round your answers to the nearest dollar. If required, round your answers to the nearest dollar. If avee t te ledrest dollar, If an
