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Sarah owns and operates a retail sporting goods business as a sole proprietor. Her store is located on the ground floor of a two-story building

Sarah owns and operates a retail sporting goods business as a sole proprietor. Her store is located on the ground floor of a two-story building that she owns. Based on the following information regarding 2023, compute her net self-employment income to be put onto Schedule C for that year. Gross profit from sporting goods business $100,000 Rental income from upper level (45%) of building 20,000 Building depreciation expense 10,000 Utilities for ground floor (Tenant pays own utilities.) 4,500 Depreciation on vehicles used in business 3,000 Gain on sale of van used 100% in business 2,000 Contributions to her Keogh retirement plan 5,500 Sarah's health insurance premiums 4,000 Mortgage interest on building 10,000 Other expenses of running her sporting goods business 11,500 $66,000 $64,500 $70,000 $73,500

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