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boyakko [2]
2 years ago
5

Alex, who is single, conducts an activity in 2021 that is appropriately classified as a hobby. The activity produces the followi

ng revenues and expenses: Revenue $18,000 Property taxes 3,000 Materials and supplies 4,500 Utilities 2,000 Advertising 5,000 Insurance 750 Depreciation 4,000 Without regard to this activity, Alex's AGI is $42,000. Determine the amount of income Alex must report and the amount of the expenses he is permitted to deduct. Assume Alex itemizes his deductions. Reportable income: $fill in the blank 1 Deductible expenses: $fill in the blank 2
Business
1 answer:
Nataliya [291]2 years ago
3 0

Alex, who is single, conducts an activity in 2021 that is appropriately classified as a hobby.  The amount of income that Alex must report and the amount of the expenses he is permitted to deduct are:

  • Income $18,000
  • Expenses $3,000

An activity or business  is classified as hobby :

  • The owner of the business is not making profit from the business
  • When their is no proof as to whether the business owner is making profit
  • When the owner does not intend to make profit from the business etc

Based on the given information the revenues or income amount of $18,000 will be the  amount that will be reported by Alex  as part of the gross income.

While the expenses or  property taxed amount of $3,000 is deductible because the deductions are itemized deductions.

Inconclusion Alex, who is single, conducts an activity in 2021 that is appropriately classified as a hobby.  The amount of income that Alex must report and the amount of the expenses he is permitted to deduct are:

  • Income $18,000
  • Expenses $3,000

Learn more here:

brainly.com/question/16633416

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The Office of Price Administration (OPA) was established within the Office for Emergency Management on August 28, 1941, in order to control prices (and thus inflation) and rents after the outbreak of World War II.
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3 years ago
Finerly Corporation sells cosmetics through a network of independent distributors. Finerly shipped cosmetics to its distributors
Evgen [1.6K]

Answer:

The amount of revenue Finerly should recognize upon delivery to its distributors is $0.

Explanation:

From the question, the following two very important points can be observed:

1. Finerly expects the distributors to be able to sell the cosmetics, but is uncertain because it has little experience with selling cosmetics of this type.

2. Finerly is committed to accepting the cosmetics back from the distributors if the cosmetics are not sold.

Since there is an uncertainty that the the distributors will be able to sell the cosmetics and Finerly is committed to accepting them back from the distributors if they are not sold, these imply that the amount of sales revenue cannot be known or reasonably estimated until when the distributors actually sell the cosmetics.

Therefore, the amount of revenue Finerly should recognize upon delivery to its distributors is $0.

8 0
3 years ago
Jamal is creating a four-fold brochure about the parts of a business including production, finance, marketing, and customer serv
Juliette [100K]

If Jamal is creating a four-fold brochure about the parts of a business including production, finance, marketing, and customer service If he only wants to highlight the key aspects of each part with several bullet points, the information  he should  include will be:

Jamal should carry out adequate and accurate research concerning the vital information that should be included  in the brochure.

The information that he should include in his brochure should be:

  • He should include relevant information that the customers need in the brochure.

  • He should show professionalism or he should show how professional he his when it has to to with his business.

  • He should highlight the most important aspect of the business such as the company products and services.

  • He shown reveal the purpose and objective of the business including what the business stand for.

The reason why i feel this is the most important information about each part of a business is because it will enables people to know that he is good at what he does  which will in turn help to promote the business.

Learn more here:

brainly.com/question/1921269

5 0
2 years ago
You are deciding whether to buy a stock in Company X or Company Y. Both companies need $1,000 capital investment and will earn $
lyudmila [28]

You would buy stock from company y

4 0
3 years ago
The country of Bienmundo does not trade with any other country. Its GDP is $30 billion. Its government purchases $5 billion wort
vodka [1.7K]

Answer:

The answer is: B) $21 billion and $4 billion, respectively

Explanation:

The formula for calculating gross domestic product (GDP) is:

GDP = C + I + G + (X - M) = $30 billions

where:

  • C =  private consumption
  • I = investment = $5 billions (private savings) - $1 billion (government deficit = $7 billions in taxes - $5 billions spent - $3 billions transferred) = $4 billions
  • G = Government expenses = $5 billions
  • X = exports = 0
  • M = imports = 0

GDP = C + I + G + (X - M)

$30 billions = C + $4 billions + $5 billions + $0

C = $30 billions - $4 billions - $5 billions = $21 billions

8 0
3 years ago
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