In January, Susan's employer transferred her from Chicago to Houston (where she continues to work for the remainder of the year). Her expenses are as follows:
Transportation for household goods.....................$2,300
Airfare from Chicago to Houston............................200
Pre-move house-hunting travel...............................700
Temporary living expenses in Houston.....................400
Apartment lease cancellation fee...........................1,200
Total moving expenses paid..............................$4,800
a. If Susan is not reimbursed for any of these expenses, how much of her moving expenses can she deduct?
b. If Susan's employer reimburses her $3,600 for all of these moving expenses except the lease cancellation fee, will she have any taxable income?