Margaret started her own business in the current year and will report a profit for her first year. Her results of operations are as follows:
Gross income............. $50,000
Travel................ 1,000
Transportation 6,009 miles, using standard
mileage method
Entertainment in total......... 4,000
Seven gifts at $50 each.......... 350
Rent and utilities for apartment in total... 10,000
(20% is used for a home office)
What is the net income Margaret should show on her Schedule C? Show the calculation of her taxable business income.
Gross income __________________
Expenses (describe each) __________________
__________________
__________________
__________________
__________________
__________________
Taxable business income __________________