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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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Answer:

An import tarif

Explanation:

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The 25 percent tax imposed on all SUVs is an example of an import tariff. The person of the firm importing the vehicle must pat the government an amount equivalent to 25 percent of the value of SUV. Import tariffs make importing unattractive, thereby encouraging the consumption of domestic products.

6 0
3 years ago
A company started the year with the following: Assets $104,000; Liabilities $34,000; Common Stock $64,000; Retained Earnings $6,
Leona [35]

Answer:

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Therefore, the amount of net income for the year is $2,200

8 0
2 years ago
The government of Junta took Fuel Safe Corp., a domestic energy firm, into state ownership to save the company from bankruptcy.
goblinko [34]

The government of Junta took Fuel Safe Corp., a domestic energy firm, into state ownership to save the company from bankruptcy. However, the other private competitors in the energy industry were enraged by this decision. As a result, the government had to reduce the tax burden on all private energy firms so that both the state-owned enterprise and private firms could coexist.It portrays Mixed economy

<h2>Option (E) is correct</h2>

<u>Explanation:</u>

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7 0
3 years ago
One tip for building well-reasoned business positions is to:__________.1. not get distracted by audience emotions. 2. dedicate m
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Suppose that we have the following information concerning the government's finances and the macroeconomy for a given year: Gover
tresset_1 [31]

Answer: $300 billion

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= Nominal deficit - (Inflation rate * Total debt)

= 1.5 trillion - ( 10% * 12 trillion)

= 1.5 trillion - 1.2 trillion

= $300 billion

3 0
3 years ago
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