Show me the steps to solve Janice Morgan, age is single and has no dependents. She is a freelance writer. In January

Janice opened her own office. She called

her business Writers Anonymous. Janice is a cash basis taxpayer. Her Social Security number is Janices parents

continue to provide health insurance for her under their policy.

During Janice reported the following income and expense items connected with her

business.

Income from sale of articles $

Rent

Utilities

Supplies

Insurance

Travel including meals of $

Janice purchased and placed in service the following fixed assets for her business. Janice

wanted to maximize the depreciation deduction in those assets by electing Sec. expensing.

Furniture and fixtures new costing $ on January

Computer equipment new costing $ on July

Janices itemized deductions include:

Qualified medical expense unreimbursed $

State income tax $

Home mortgage interest paid to First National Bank

Property taxes on home

Charitable contribution

Janice made $ contribution to her traditional IRA account for

Janice reports interest income of $ on certificates of deposit at Second National Bank. In

Janice also received interest income of $ from municipal bonds.

Janice makes estimated tax payments of $ each quarter for