What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses me IRS method of allocating expenses between rental and personal days (Do not round Intermediate calculations. Round your final inswer to the nearest whole dollar amount.)

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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[The following information applies to the questions displayed below
Alexa owns a condomintum near Cocoa Beach in Florida. In 2021, she incurs the following expenses in connection with
her condo
Insurance
Mortgage Interest
Property taxes
Repairs & maintenance
Utilities
Depreciation
3,350
6,650
2,800
860
2,600
23,000
During the year, Alexa rented out the condo for 134 days. She did not use the condo at all for personal purposes during
the year. Alexa's AGI from all sources other than the rental property is $200,000 Unless otherwise specified, Alexa has no
sources of passive Income
Assume that in addition to renting the condo for 134 days, Alexa uses the condo for 8 days of personal use. Also assume
that Alexa receives $49,750 of gross rental receipts and her temized deductions exceed the standard deduction before
considering expenses associated with the condo and that her temized deduction for non-home business taxes is less
than $10,000 by more than the real property taxes allocated to rental use of the home. Answer the following questions
Note that the home is considered to be a nonresidence with rental use
b. What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses
the IRS method of allocating expenses between rental and personal days. (Do not round Intermediate calculations. Round your final
answer to the nearest whole dollar amount.)
From AOI deductions
D
Transcribed Image Text:Required Information [The following information applies to the questions displayed below Alexa owns a condomintum near Cocoa Beach in Florida. In 2021, she incurs the following expenses in connection with her condo Insurance Mortgage Interest Property taxes Repairs & maintenance Utilities Depreciation 3,350 6,650 2,800 860 2,600 23,000 During the year, Alexa rented out the condo for 134 days. She did not use the condo at all for personal purposes during the year. Alexa's AGI from all sources other than the rental property is $200,000 Unless otherwise specified, Alexa has no sources of passive Income Assume that in addition to renting the condo for 134 days, Alexa uses the condo for 8 days of personal use. Also assume that Alexa receives $49,750 of gross rental receipts and her temized deductions exceed the standard deduction before considering expenses associated with the condo and that her temized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to rental use of the home. Answer the following questions Note that the home is considered to be a nonresidence with rental use b. What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days. (Do not round Intermediate calculations. Round your final answer to the nearest whole dollar amount.) From AOI deductions D
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Section 179 Deduction and Modified Accelerated Cost Recovery System (MACRS) Depreciation
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