9)

Required information

Problem 6-30 (LO 6-1) (Algo)

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Betty operates a beauty salon as a sole proprietorship. Betty also owns and rents an apartment building. In 2021, Betty had the following income and expenses. You may assume that Betty will owe $2,572 in self-employment tax on her salon income, with $1,286 representing the employer portion of the self-employment tax. You may also assume that her divorce from Rocky was finalized in 2016.

Interest income	$ 13,270
Salon sales and revenue	87,660
Salaries paid to beauticians	45,930
Beauty salon supplies	23,530
Alimony paid to her ex-husband, Rocky	6,650
Rental revenue from apartment building	33,560
Depreciation on apartment building	13,550
Real estate taxes paid on apartment building	11,620
Real estate taxes paid on personal residence	6,618
Contributions to charity	4,666

Problem 6-30 Part-a (Algo)

a. Determine Betty's AGI. (Amounts to be deducted should be indicated by a minus sign.)

INTEREST INCOME
SALON REVENUE
LESS: BEAUTY SALON SUPPLIES
OPERATING INCOME FROM SALON
APARTMENT BUILDING REVENUE
APARTMENT BUILDING INCOME
AGI