Question: Please help. I am not getting the correct answer even after using samples. Can you please explain how to get the answer. Alexa owns a
Please help. I am not getting the correct answer even after using samples. Can you please explain how to get the answer.
Alexa owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo: Insurance $ 3,750 Mortgage interest 11,400 Property taxes 4,500 Repairs & maintenance 560 Utilities 4,550 Depreciation 16,200 During the year, Alexa rented out the condo for 127 days. Alexas AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 127 days, Alexa uses the condo for eight days of personal use. Also assume that Alexa receives $46,250 of gross rental receipts and her itemized deductions exceed the standard deduction before considering expenses associated with the condo. Answer the following questions: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.) Note that the home is considered to be a nonresidence with rental use. a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days.
Alexa owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo:
| Insurance | $ | 3,750 |
| Mortgage interest | 11,400 | |
| Property taxes | 4,500 | |
| Repairs & maintenance | 560 | |
| Utilities | 4,550 | |
| Depreciation | 16,200 | |
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During the year, Alexa rented out the condo for 127 days. Alexas AGI from all sources other than the rental property is $200,000. Unless otherwise specified, Alexa has no sources of passive income. Assume that in addition to renting the condo for 127 days, Alexa uses the condo for eight days of personal use. Also assume that Alexa receives $46,250 of gross rental receipts and her itemized deductions exceed the standard deduction before considering expenses associated with the condo. Answer the following questions: (Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.)
a. What is the total amount of for AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days.
Gross Income $46,250
Expenses: Income Tax =
Mortgage Interest =
Property Taxes =
Repairs & Maintenance =
Utilities =
Depreciation =
Total Expenses =
Balance -net rental income =
Total "For AGI"deductions =
b. What is the total amount of from AGI deductions relating to the condo that Alexa may deduct in the current year? Assume she uses the IRS method of allocating expenses between rental and personal days.
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