Hoyt rented office space two years ago to Harris, receiving the first and last months' rent plus a security deposit of $1,000. In early January of this year, Harris moves and Hoyt refunds $250 of the deposit and keeps the remainder to cover $500 which is spent for repairs to the office space and one week of unpaid rent that amounts to $250. How would this information be reflected on Hoyt's tax
return this year?
A) $750 income and $500 deduction
B) $750 income and no deduction
C) $250 income and $500 deduction
D) No income is recognized, but a $250 deduction is allowed.
A) $750 income and $500 deduction
The $750 deposit not returned to the tenant is income. However, the $500 repairs may be deducted.
You might also like to view...
Variable costing considers only ________ costs when determining product costs.
A) fixed manufacturing B) variable manufacturing C) variable selling and administrative D) fixed selling and administrative
Which of the following dimensions of job characteristics theory increases a person’s responsibility for the work they perform?
A. skill variety B. task identity C. task significance D. autonomy
Formatting of instructions
A) does not vary. B) may use graphics. C) does not consider white space.
A news release form usually contains the name, address, and telephone number of the person responsible for issuing the release to the public
Indicate whether the statement is true or false