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IItem 5 Jordan took a business trip from New York to Denver. She spent two days in travel, conducted business for nine days, and visited
IItemJordan took a business trip from New York to Denver. She spent two days in travel, conducted business for nine days, and visited friends for five days. She incurred the following expenses:
Airfare $
Lodging
Meals
Entertainment of clients
points
Item
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Derrick owns a farm in eastern North Carolina. A hurricane hit the area a national disaster area was declared and destroyed a farm building and some farm equipment and damaged a barn.
Item Adjusted Basis FMV before Damage FMV after Damage Insurance Proceeds
Building $ $ $ $
Equipment
Barn
Due to the extensive damage throughout the area, the president of the United States declared all areas affected by the hurricane as a disaster area. Derrick, who files a joint return with his wife, had $ of taxable income last year. Their taxable income for the current year is $ excluding the loss from the hurricane.
Required:
a Calculate the amount of the loss deductible by Derrick and his wife.
a What amount of loss should be adjusted against current and last year?
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