1. Phils business had a net operating loss of $40,000 in 2017. Assume he makes no elections related to the operating loss use. Complete the table below showing how the net operating loss would be used to offset income

Year	2014	2015	2016	2017	2018	2019	2020
Income Before NOL Adjustment	30,000	10,000	5,000	-40,000	20,000	1,000	40,000
NOL used				40,000
Income after NOL adjustment				0

2. Erv operated three sole proprietor businesses during 2017. His Schedule Cs show income of $15,000, $23,000, and $43,100 from these businesses. What will Ervs adjustment for of the self-employment tax for AGI be for self-employment tax reported on 1040 line 27?

3. Tom had net earnings of $80,000 from the plant nursery he owns. What is his liability for self-employment taxes on his earnings?

4. Katie operates a ceramics studio from her garage. She incurs the following expenses:

Clay and paints $3,500

Painting technique seminars $ 400

Pottery wheel $ 75

Utilities for the ceramic studio $ 375

Ceramic equipment repair $ 50

Katies gross receipts from her business were $2,000.

If the studio is deemed to be a hobby. Calculate the amount of expenses Katie may deduct on her schedule A.