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Required information [The following information applies to the questions displayed below.] Rita owns a sole proprietorship in which she works as a management consultant. She

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Required information [The following information applies to the questions displayed below.] Rita owns a sole proprietorship in which she works as a management consultant. She maintains an office in her home (500 square feet) where she meets with clients, prepares bills, and performs other work-related tasks. Her business expenses, other than home office expenses, total $5,820. The following home-related expenses have been allocated to her home office under the actual expense method for calculating home office expenses. Real property taxes Interest on home mortgage $1,710 5,265 Operating expenses of home Depreciation 855 1,666 Also, assume that, not counting the sole proprietorship, Rita's AGI is $62,200 Assume Rita's consulting business generated $15,550 in gross income. (Leave no answer blank. Enter zero if applicable.) b. What would Rita's home office deduction be if her business generated $10,550 of gross income instead of $15,550? (Answer for both the actual expense method and the simplified method. Actual expense method Simplified method

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