Mr. Zan, a calendar year taxpayer, opened a new car wash. Prior to the car wash's grand opening on October 8, Mr. Zan incurred various start-up expenditures (rent, utilities, employee salaries, supplies, and so on). In each of the following cases, compute Mr. Zan's first-year deduction with respect to these expenditures. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Required: a. The start-up expenditures totaled $4,780. b. The start-up expenditures totaled $28,400. c. The start-up expenditures totaled $53,060. d. The start-up expenditures totaled $89,460. a. Deduction b. Deduction c. Deduction d. Deduction $ Amount 4,780
Mr. Zan, a calendar year taxpayer, opened a new car wash. Prior to the car wash's grand opening on October 8, Mr. Zan incurred various start-up expenditures (rent, utilities, employee salaries, supplies, and so on). In each of the following cases, compute Mr. Zan's first-year deduction with respect to these expenditures. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount. Required: a. The start-up expenditures totaled $4,780. b. The start-up expenditures totaled $28,400. c. The start-up expenditures totaled $53,060. d. The start-up expenditures totaled $89,460. a. Deduction b. Deduction c. Deduction d. Deduction $ Amount 4,780
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Question
Subject : Accounting
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Mr. Zan, a calendar year taxpayer, opened a new car wash. Prior to the car wash's grand
opening on October 8, Mr. Zan incurred various start-up expenditures (rent, utilities,
employee salaries, supplies, and so on). In each of the following cases, compute Mr.
Zan's first-year deduction with respect to these expenditures.
Note: Do not round intermediate calculations. Round your final answers to the
nearest whole dollar amount.
Required:
a. The start-up expenditures totaled $4,780.
b. The start-up expenditures totaled $28,400.
c. The start-up expenditures totaled $53,060.
d. The start-up expenditures totaled $89,460.
a. Deduction
b. Deduction
c. Deduction
d. Deduction
$
Amount
4,780
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