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Problem - Tax Preparation Rental Real Estate ( Obj . 4 ) Cecily J Cook ( SSN 3 4 4 - 0 0 - 5

Problem - Tax Preparation
Rental Real Estate (Obj.4)
Cecily J Cook (SSN 344-00-5768) purchased a two-unit apartment building at 1626 Flat street, Ritzville, Washington, 99270-8224. The costs of the land and building were $20,000 and $82,500, respectively. Both apartments are the same size, with one on the ground floor and the other upstairs. Cecily has lived in the upstairs apartment since she acquired the building. The tenant pays $350 a month for rent. On June 30, the tenant moved out. The apartment was vacant until August 1, even though Cecily advertised and attempted to rent it. On August 1, a new tenant moved in, paying $400 per month. Rent is due on the first day of the month. Cecily uses MACRS to depreciate the rental portion of the building.
Information on the apartment follows:
Revenue:
Rent from the first tenant (6 months x $350) $2,100
Rent from the second tenant (5 months x $400)2,100
Total Revenue
$4,100?
Expenses: Entire House
\table[[Real estate taxes,$1,700
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