Larry qualifies for a home office deduction. The amount of space devoted to the business is 500 square feet of the total 2,000 square feet in his house. Larry's total rent on the house is $7,000, and he pays utilities (other than telephone) of $4,500 for the year. Calculate Larry's deductions for home office expenses before the gross income limitation
Rent expense
Utilities
Total home office expenses
What will be an ideal response?
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If an oral contract is declared to be unenforceable under the statute of frauds and one of the parties has rendered some performance under the contract that conferred benefits on the other party, he or she can recover the reasonable value of the performance on an express contract theory.
Answer the following statement true (T) or false (F)
Which of the following is not true about scenarios?
A. By presenting other ways of seeing the world, scenarios allow managers to envision alternatives that might lie outside their traditional frame of reference. B. Scenarios help managers brainstorm various "what-if" situations, raising and challenging their assumptions and projected outcomes before committing to a specific course of action. C. Scenarios integrate a variety of ideas about the future, including key certainties and uncertainties. D. Scenarios are particularly useful for international companies that face high levels of change and certainty. E. The multinational company Royal Dutch Shell is widely recognized as a pioneer in popularizing the technique.
Net operating working capital is equal to current assets minus the difference between current liabilities and notes payable. This definition assumes that the firm has no "excess" cash.
Indicate whether the statement is true or false
Which of the following measures of performance encourages continued expansion by an investment center so long as it is able to earn a return in excess of the minimum required return on average operating assets?
A. transfer pricing B. the contribution approach C. residual income D. return on investment