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PLEASE MAKE SURE ANSWERS ARE CLEARLY MARKED. THANK YOU! Required Information Problem 14-62 (LO 14-5) The following information applies to the questions displayed below.] Alexa
PLEASE MAKE SURE ANSWERS ARE CLEARLY MARKED. THANK YOU!
Required Information Problem 14-62 (LO 14-5) The following information applies to the questions displayed below.] Alexa owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo: Insurance Mortgage interest Property taxes Repairs & maintenance Utilities Depreciation $ 3,400 7,500 4,600 830 4,500 22,200 During the year, Alexa rented out the condo for 115 days. Alexa's AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 115 days, Alexa uses the condo for eight days of personal use. Also assume that Alexa receives $42.000 of gross rental receipts and her itemized deductions exceed the standard deduction before considering expenses associated with the condo. Answer the following questions: (Do not round Intermediate calculations. Round your final answers to the nearest whole dollar amount.) Note that the home is considered to be a nonresidence with rental use. Problem 14-62 Part a a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days. Gross rental income Expenses: Total expenses Balance-net rental income Total "for AGI" deductions b. What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days. From AGI deductions
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