Michael graduates from New York University and on February 1, 2013, accepts a position with a public accounting firm in Chicago. Michael is a resident of New York. In March, Michael travels to Chicago to locate a house and starts to work in June. He incurs the following expenses, none of which are reimbursed by the public accounting firm:

Automobile expense enroute

(1,000 miles at 24 cents per mile-standard mileage rate) ..............$ 240

Cost of meals en route ......................................................... 100

Househunting trip travel expenses ..........................................1,400

Moving van expenses .........................................................3,970

Commission on the sale of

Michael's New York condominium ......................................3,500

Points paid to acquire a mortgage on

Michael's new residence in Chicago ......................................1,000

Temporary living expenses for one week

in Chicago (hotel and $100 in meals) ..................................... 400

Expenses incurred in decorating the new residence

Total expenses ................................................................. $11,110

a. What is Michael's moving expense deduction?

b. How are the deductible expenses classified on Michael's tax return?

c. How would your answer to Part a change if all of Michael's expenses were reimbursed by his employer and he received a check for $11,110?