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Ralph owns a building that he is trying to lease. Ralph is a calendar-year, cash-method taxpayer and is trying to evaluate the tax consequences of

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Ralph owns a building that he is trying to lease. Ralph is a calendar-year, cash-method taxpayer and is trying to evaluate the tax consequences of three different lease arrangements. Under lease 1, the building rents for $500 per month, payable on the first of the next month, and the tenant must make a $500 security deposit that is refunded at the end of the lease. Under lease 2 , the building rents for $5,500 per year, payable at the time the lease is signed, but no security deposit is rquired. Under lease 3 , the building rents for $500 per month, payable at the beginning of each month, and the tenant must pay a security deposit of $1,000 that is to be applied toward the rent for the last two months of the lease. Note: Leave no answers blank. Enter zero if applicable. Required: a. What amounts are included in Ralph's gross income this year if a tenant signs lease 1 on December 1 and makes timely payments under that lease? b. What amounts are included in Ralph's gross income this year if the tenant signs lease 2 on December 31 and makes timely payments under that lease? c. What amounts are included in Ralph's gross income this year if the tenant signs lease 3 on November 30 and makes timely paymients under that lease? Complete this question by entering your answers in the tabs below. What amounts are included in Ralpti's gross income this year if a tenant signs lease 1 on December 1 and makes timely payments under that lease

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