Henrietta is a photographer She has the following income and expenses from her photo studio Sales of photographs $2000 Expenses Camera Equipment $3000 Supplies 500 Rental of equipment 700 Which of the following is true Select one a If Henrietta is engaged in a Hobby she reports $2000 income and can deduct $2000 FOR AGI b Henrietta's activity cannot be classified as a business because of the inherently personal nature of photography c If Henriett is engaged in a hobby she reports $2000 income and can deduct $2000 FROM AGI d If Henrietta is engaged in a hobby she reports $2000 income and cannot deduct any expenses

Question

Henrietta is a photographer  She has the following income and expenses from her photo studio  Sales of photographs  $2000 Expenses  Camera Equipment  $3000 Supplies  500 Rental of equipment 700 Which of the following is true  Select one  a  If Henrietta is engaged in a Hobby she reports $2000 income and can deduct $2000 FOR AGI b  Henrietta's activity cannot be classified as a business because of the inherently personal nature of photography  c  If Henriett is engaged in a hobby she reports $2000 income and can deduct $2000 FROM AGI d  If Henrietta is engaged in a hobby she reports $2000 income and cannot deduct any expenses

Accepted Answer

The Answer is in the image, click to view ...

Question

Henrietta is a photographer. She has the following income and expenses from her photo studio. Sales of photographs: $2000 Expenses: Camera Equipment: $3000 Supplies: 500

Step by Step Solution

Step: 1

Get Instant Access with AI-Powered Solutions

Step: 2

Step: 3

Ace Your Homework with AI

Students also viewed these Accounting questions

Question

Question

Question

Question

Question

Question

Question

Question

Question