[9] Lancelot owns a cabin that he rented for 4 months and lived in for 2 months. Lancelot received $6.000 in rental income. Lancelot's total expenses were as follows: Depreciation Maintenance Utilities Taxes Interest What is Lancelot's depreciation deduction based on the IRS method of allocating expenses? A. $3,200 B. $1,200 C. $2,400 D. $3,600 $3,600 200 500 1.100 2,400 [10] Bonnie drove her new car, which cost $12,000, a total of 16.000 miles during the current year. Of those miles, 12,000 were related to her business (Bonnie is self-employed). Bonnie paid $5.500 for gas. $1.400 for repairs, and $600 for tires during the year. Ignoring Section 179 and additional first year depreciation, first-year MACRS depreciation would be $2,400 if the car was used 100% for business. If Bonnie uses the actual expense method, what is her deductible travel and transportation expense? A. $5,625 B. $9,900 C. $7,425 D. $6,975 [11] Ron, a single taxpayer, contributed $6,800 to his IRA on November 4, 2022. He is covered under his employer's retirement program. The following is Ron's total income for 2022: Wages $75,000 Dividends 4,800 Interest 8,000 Veterans' educational benefits 5,000 What is his allowable IRA deduction on his 2022 income tax return? . $6,000 B. $1,800 C. $0 D. $6,800

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[9] Lancelot owns a cabin that he rented for 4 months and lived in for 2 months. Lancelot received $6.000 in rental
income. Lancelot's total expenses were as follows:
Depreciation
Maintenance
Utilities
Taxes
Interest
What is Lancelot's depreciation deduction based on the IRS method of allocating expenses?
A. $3,200
B. $1,200
C. $2,400
D. $3,600
$3,600
200
500
1.100
2,400
[10] Bonnie drove her new car, which cost $12,000, a total of 16.000 miles during the current year. Of those miles,
12,000 were related to her business (Bonnie is self-employed). Bonnie paid $5.500 for gas. $1.400 for repairs, and $600
for tires during the year. Ignoring Section 179 and additional first year depreciation, first-year MACRS depreciation would
be $2,400 if the car was used 100% for business. If Bonnie uses the actual expense method, what is her deductible travel
and transportation expense?
A. $5,625
B. $9,900
C. $7,425
D. $6,975
[11] Ron, a single taxpayer, contributed $6,800 to his IRA on November 4, 2022. He is covered under his employer's
retirement program. The following is Ron's total income for 2022:
Wages
$75,000
Dividends
4,800
Interest
8,000
Veterans' educational benefits
5,000
What is his allowable IRA deduction on his 2022 income tax return?
. $6,000
B. $1,800
C. $0
D. $6,800
Transcribed Image Text:[9] Lancelot owns a cabin that he rented for 4 months and lived in for 2 months. Lancelot received $6.000 in rental income. Lancelot's total expenses were as follows: Depreciation Maintenance Utilities Taxes Interest What is Lancelot's depreciation deduction based on the IRS method of allocating expenses? A. $3,200 B. $1,200 C. $2,400 D. $3,600 $3,600 200 500 1.100 2,400 [10] Bonnie drove her new car, which cost $12,000, a total of 16.000 miles during the current year. Of those miles, 12,000 were related to her business (Bonnie is self-employed). Bonnie paid $5.500 for gas. $1.400 for repairs, and $600 for tires during the year. Ignoring Section 179 and additional first year depreciation, first-year MACRS depreciation would be $2,400 if the car was used 100% for business. If Bonnie uses the actual expense method, what is her deductible travel and transportation expense? A. $5,625 B. $9,900 C. $7,425 D. $6,975 [11] Ron, a single taxpayer, contributed $6,800 to his IRA on November 4, 2022. He is covered under his employer's retirement program. The following is Ron's total income for 2022: Wages $75,000 Dividends 4,800 Interest 8,000 Veterans' educational benefits 5,000 What is his allowable IRA deduction on his 2022 income tax return? . $6,000 B. $1,800 C. $0 D. $6,800
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