1.Which of the following individuals would not be able to take a deduction for automobile transportation expenses?

options: (I choose A is incorrect.)

A.a self-employed plumber who travels from his residential home office to various work sites throughout the day.

B.a self-employed attorney who commutes 90 minutes round trip from her home to her office each work day.

C.a self-employed accountant who travels from his office to clients' workplaces for meetings and other duties.

D.All of the above would be entitled to deduct automobile transportation expenses.

2.Patty is a landlord who has multiple rental properties.Which of the statements below regarding the classification of her activity is true?

options: (I choose C is incorrect.)

A.rental real estate cannot be a trade or business

B.rental real estate is a trade or business

C.rental real estate cannot be a trade or business unless the taxpayer satisfies one of the material participation tests under the passive activity loss rules

D.rental real estate is not a trade or business unless the taxpayer satisfies the real estate professional exception to the passive activity loss rules