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Required information [The following information applies to the questions displayed below) Betty operates a beauty salon as a sole proprietorship. Betty also owns and rents an apartment building. This year Betty had the following income and expenses. You may assume that Betty will owe $2,596 in self-employment tax on her salon income, with $1.298 representing the employer portion of the self-employment tax. You may also assume that her divorce from Rocky was finalized in 2016. Interest income (not municipal bond) Salon sales and revenue Salaries paid to beauticians Beauty salon supplies Alimony paid to her ex-husband, Rocky Rental revenue from apartment building Depreciation on apartment building Real estate taxes paid on apartment building Real estate taxes paid on personal residence Contributions to charity $ 14,845 88,160 46,210 23,580 6,900 34,460 13, see 11,820 6,763 4,831 a. Determine Betty's AGI. (Amounts to be deducted should be indicated by a minus sign.) Interest income Salon revenue Operating income from salon Apartment building revenue Apartment building income AGI $ Penny, a full-time biochemist, loves stock car racing. To feed her passion, she bought a used dirt-track car and has started entering some local dirt-track races. The prize money is pretty small ($1.000 for the winner), but she really is not in it for the money. Penny reported the following income and expenses from her nights at the track $2,880 Prize money Expenses: Transportation from her home to the races Depreciation on the dirt-track car Entry fees oil, gas, supplies, repairs for the dirt track car 1,610 4,880 6,18e 2,120 What are the tax effects of Penny's racing income and expenses assuming that the racing activity is a hobby for Penny? Penny's racing income Penny's racing expense Gross income for tax