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Problem 8-37 (LO 8-2) Alicia and Marie own a vacation home at the beach. During the year, they rented the house for 42 days
Problem 8-37 (LO 8-2) Alicia and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks) at $975 per week and used it for personal use for 58 days. The total costs of maintaining the home are as follows: Mortgage interest Property taxes Insurance Utilities Repairs $ 4,540 870 1,455 3,455 1,985 5,840 Depreciation Required: a. What is the proper tax treatment of this information on their tax return using the Tax Court method? Note: Use 365 days in a year, Round your intermediate computations to 5 decimal places and final answers to nearest whole dollar value. Income Mortgage interest Property taxes Insurance Utilities Repairs Depreciation Net income Schedule E Schedule Al
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