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Ket [755]
2 years ago
12

Geraldine is an accrual basis taxpayer who has the following transactions during the current calendar tax year: Accrued business

income (except rent) $220,000 Accrued business expenses (except rent) 170,000 Rental income on a building leased for the next 6 months, received on December 1 21,000 Prepaid rent expense for 6 months, paid on December 1 9,000 Calculate Geraldine's net income from her business for the current year.
Mathematics
1 answer:
Artyom0805 [142]2 years ago
3 0

Answer:

Total: $69,500

Step-by-step explanation:

Income:

Other than rental: 220,000

Rental: 21,000

Expenses:

Other than rental: (170,000)

Rental (9,000/6): (1,500)

Total: $69,500

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