The tax rules for determining business income are identical to those used for determining property income.

Question 11 options:

1) True

2) False

Question 12 (1 point)

The deduction of CCA can be used to create or increase a net business loss.

Question 12 options:

1) True

2) False

Question 13 (1 point)

If an asset has been held for a considerable period of time, any gain on its disposition will be treated as business income.

Question 13 options:

1) True

2) False

Question 14 (1 point)

A self-employed individual cannot deduct CCA on a home office in his principal residence unless it is used exclusively for income producing purposes.

Question 14 options:

1) True

2) False

Question 15 (1 point)

For the hobby farmer, deductible farming losses for a year are restricted to $2,500, plus one-half of the next $30,000.

Question 15 options:

1) True

2) False