CH2_4_Business Income or Losses Examples

Question 1

1. Dr. Merry, a self-employed dentist, incurred the following expenses:

 Investment expenses(포트폴리오) $ 700
 Custodial fees(연금보험상품) related to Dr. Merry’s Keogh plan 40
 Work uniforms for Dr. Merry and Dr. Merry’s employees 320
 Subscriptions for periodicals used in the waiting room 110
 Dental education seminar 1,300

What is the amount of expenses the doctor can deduct as business expenses on Schedule C, Profit or Loss from Business?

Answer 1

A. $1,620 B. $1,730 C. $1,770 D. $2,430

320+110+1300
=1,730

Question 2

2. Mr. E, a sole proprietor, made the following payments in the current year. Which payment is not a capital expenditure?

A. Freight paid on new equipment purchased. (부대비용)
B. Cost of rewiring a building to install a new computer. (배선 등등) 부대비용 자산화
C. A payment made to eliminate competition for 5 years. (반경에 동종업계 못 오게 프리미엄) Good will 같은 것 영업활동시 필요한 것
D. A payment to have machinery moved from one location to another. 이미 사용하는 것 장소 옮기는 것은 자본화 비용이 아니다.

Answer 2

D
goodwill 자산화 하 듯
B도 자본화

Question 3

3. On New Year’s Eve,(새해 전날) Hal sent three bottles of champagne to the three owners of the Day & Night Cleaners to thank them for their business during the year. Each bottle of champagne cost $75. Each of the owners took the champagne home. Earlier in the year, Hal had given a video game to the son of one of the owners. The value of the game was $50. To show his appreciation to another customer for his business, Hal took the customer to a football game. The value of the tickets was $100. What is the total amount Hal can deduct as business gifts? 티켓 비디오 (gift는 아니다 entertainment 접대비로 간다.)

Answer 3

A. $375 B. $100 C. $125 D. $75

D