Question
Rebecca is a calendar-year taxpayer who operates a business. She made the following business-related expenditures in December of year 0. Indicate the amount of these
Rebecca is a calendar-year taxpayer who operates a business. She made the following business-related expenditures in December of year 0. Indicate the amount of these payments that she may deduct in year 0 under both the cash method of accounting and the accrual method of accounting. (Leave no answers blank. Enter zero if applicable.) a. $2,900 for an accountant to evaluate the accounting system of Rebeccas business. The accountant spent three weeks in January of year 1 working on the evaluation. b. $3,600 for new office furniture. The furniture was delivered on February 15, year 1. c. $5,200 for property taxes on her factory. d. $915 for interest on a short-term bank loan relating to the period from November 1, year 0 through January 31, year 1.
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