Answer and Explanation:
a) rent income from sarah's vacation house will not affect her AGI, because according to rules if vacation house is used fewer than 15 days, in that case it is treated as a personal house and its expenses and income have not effect on the AGI. only the mortgage interest and property yax will be deducted from AGI.
b) only the mortgage interest and property yax will be deducted from AGI. other expenses are non-deductible from AGI because these are treated as personal expenses.
Answer:
The correct answer is D
Explanation:
Expenditure is the funds which is used by organizations, firms or the corporations in order to attain the improve existing ones, new assets or the decrease the liability. In short, it is the use of the resource in the business operations.
So, when the expenditure is made on machine which is used by an enterprise need to be capitalized if it increase the quantity produced by the machine.
This is a rare occurence in the market world and can lead to malfuunctions. Since the price level has dropped, we have that the catalogued items are overpriced with respect to the income and other basic goods. Hence, the demand for them will drop. In response, companies will also reduce their output.
Also, we have that the true rate of output and natural rate of output difference is proportional to the diffeerence between price levels. Since the actual price level is lower than the expected one, we have that the rate of output will fall below the natural rate of output for a while.
