acct 387 ch 14 ch 12131415

Required information Problem 14-64 (LO 14-6) (Algo) The following information applies to the questions displayed below] Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home (500 square feet) where she meets with clients, prepares bills, and performs other work-related tasks. Her business expenses. other than home office expenses, total $5,980. The following home-related expenses have been allocated to her home office under the actual expense method for calculating home office expenses. Also, assume that, not counting the sole proprietorship, Rita's AGI is $63,800. Rita itemizes deductions, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to business use of the home. Assume Rita's consulting business generated $15,950 in gross income. Note: Leave no answer blank. Enter zero if applicable. Problem 14-64 Part b (Algo) What would Rita's home office deduction be if her business generated $10,950 of gross income instead of $15,950 ? (Answer for oth the actual expense method and the simplified method.) Required information Problem 14-64 (LO 14-6) (Algo) [The following information applies to the questions displayed below] Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home ( 500 square feet) where she meets with clients, prepares bills, and performs other work-related tasks. Her business expenses, other than home office expenses, total $5,980. The following home-related expenses have been allocated to her home office under the actual expense method for calculating home office expenses. Also, assume that, not counting the sole proprietorship, Rita's AGI is $63,800. Rita itemizes deductions, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to business use of the home. Assume Rita's consulting business generated $15,950 in gross income. Note: Leave no answer blank. Enter zero if applicable. Problem 14.64 Part c (Algo) c. Given the original facts, what is Rita's AGI for the year? Required information Problem 14-64 (LO 14-6) (Algo) [The following information applies to the questions displayed below]. Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home ( 500 square feet) where she meets with clients, prepares bills, and performs other work-related tasks. Her business expenses, other than home office expenses, total $5,980. The following home-related expenses have been allocated to her home office under the actual expense method for calculating home office expenses. Also, assume that, not counting the sole proprietorship, Rita's AGI is $63,800. Rita itemizes deductions, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to business use of the home. Assume Rita's consulting business generated $15,950 in gross income. Note: Leave no answer blank. Enter zero if applicable. Problem 14-64 Part d (Algo) d. Given the original facts, what types and amounts of expenses will she carry over to next year? Required information Problem 14-64 (LO 14-6) (Algo) [The following information applies to the questions displayed below] Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home ( 500 square feet) where she meets with clients, prepares bills, and performs other work-related tasks. Her business expenses, other than home office expenses, totat $5,980. The following home-related expenses have been allocated to her home office under the actual expense method for calculating home office expenses. Also, assume that, not counting the sole proprietorship, Rita's AGI is $63,800. Rita itemizes deductions, and her itemized deduction for non-home business taxes is less than $10,000 by more than the real property taxes allocated to business use of the home. Assume Rita's consulting business generated $15,950 in gross income. Note: Leave no answer blank. Enter zero if applicable. Problem 14-64 Part a (Algo) a. What is Rita's home office deduction for the current year