Question
Alexa owns a condominium near Cocoa Beach in Florida. In 2023, she incurs the following expenses in connection with her condo: Insurance $ 2,000 Mortgage
Alexa owns a condominium near Cocoa Beach in Florida. In 2023, she incurs the following expenses in connection with her condo:
Insurance $ 2,000
Mortgage interest 6,500
Property taxes 2,000
Repairs & maintenance 1,400
Utilities 2,500
Depreciation 14,500
During the year, Alexa rented out the condo for 100 days. She did not use the condo at all for personal purposes during the year. Alexa's AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income.
Assuming Alexa receives $20,000 in gross rental receipts, answer the following questions: Note: Leave no answer blank. Enter zero if applicable. a. What effect does the rental activity have on her AGI for the year?
Note: Leave no answer blank. Enter zero if applicable.
a. What effect does the rental activity have on her AGI for the year?
AGI---? $?
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