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1. ACC 401 Week 1 Assignment Chapter 2 Problems 32, 33 & 38 For more classes visit www.snaptutorial.com 32) List the five types of filing status and briefly explain the requirements for the use of each one. 33) In which of the following cases may the taxpayer claim head of household filing status? a. The taxpayer is single and maintains a household which is the principal place of abode of her infant son. b. The taxpayer is single and maintains a household for herself and maintains a separate household which is the principal place of abode of her dependent widowed mother. c. The taxpayer is married from January to October and lived with his spouse from January to May. From June 1 to December 31, the taxpayer maintained a household that was the principal place of abode of his married son and daughter-in-law whom the taxpayer can claim as dependents. Same as (c) except the taxpayer lived with his ex-spouse until August and maintained the household for his married son and daughter-in-law from September 1 to the end of the year

2. 38) Julio and Martina are engaged and are planning to travel to Las Vegas during the 2009 Christmas season and get married around the end of the year. In 2009, Julio expects to earn $45,000 and Martina expects to earn $15,000. Their employers have deducted the appropriate amount of withholding from their paychecks throughout the year. Neither Julio nor Martina has any itemized deductions. They are trying to decide whether they should get married on December 31, 2009 or on January 1, 2010. What do you recommend? Explain your answer (disregard the making work pay credit). Chapter 3: Problems 35, 36, & 42 35) Determine the amount of taxable income that should be reported by a cash-basis taxpayer in 2009 in each of the following independent cases. A taxpayer completes $500 of accounting services in December 2009 for a client who pays for the accounting work in January 2010. A taxpayer is in the business of renting computers on a short-term basis. On December 1, 2009, she rents a computer for a $200 rental fee and receives a $500 deposit. The customer returns the computer and is refunded the deposit on December 20, 2009. Same facts as (b) except that the computer is returned on January 5, 2010. On December 18, 2009, a landlord rents an apartment for $700 per month and collects the first and last month’s rent up front. It is customary that tenants apply the deposit to their last month’s rent upon moving out. An accountant agrees to perform $500 of tax services for an auto mechanic who has agreed to perform repairs on the car of the wife of the accountant. The mechanic repairs the car in December 2009 and the accountant starts and completes the tax work in March 2010. 36. A taxpayer who purchases a Series EE U.S. Savings Bond must report the interest income (i.e., increase in value) on the bond on the date the bond is redeemed or the taxpayer can elect to report the interest currently in income. Under what circumstances should a taxpayer report income at maturity? Under what circumstances is it more advantageous to report income currently?

3. 42. Sean, who is single, received social security benefits of $8,000, dividend income of $13,000, and interest income of $2,000. Except as noted, those income items are reasonably consistent from year to year. At the end of 2009, Sean is considering selling stock which would result in an immediate gain of $10,000, a reduction in future dividends of $1,000, and an increase in future interest income of $1,500. He has asked you for advice. What course of action do you recommend *********************************************** ACC 401 Week 1 Quiz For more classes visit www.snaptutorial.com ACC 401 Week 1 Quiz ***********************************************

4. ACC 401 Week 2 Assignment Chapter 4 problem 53 and problem 55 For more classes visit www.snaptutorial.com 53. Under the terms of a divorce decree executed May 1, 2008, Rob transferred a house worth $650,000 to his ex-wife, Linda, and was to make alimony payments of $3,000 per month. The property has a tax basis to Rob of $300,000. a. How much of this must be reported on Linda’s tax return? b. Of that amount, how much is taxable gain or loss that Linda must recognize related to the transfer of the house? 54. Under the alimony recapture rules, what amounts are designated for recapture reclassification, and what are the tax consequences? 55. Indicate whether each of the following items is considered a for AGI, (above-the line) deduction for the 2009 tax year. Chapter 5, complete problem 54, problem 61, and problem 62 54. Steve purchased a personal residence from Adam. To sell the residence, Adam agreed to pay $4,500 in points related to Steve’s mortgage. Discuss the tax consequences from the perspective of both Steve and Adam. 61. Reynaldo and Sonya, a married couple, had flood damage in their home due to a faulty water heater during 2009, which ruined the

5. furniture in their garage. The following items were completely destroyed and not salvageable Their homeowner’s insurance policy had a $10,000 deductible for the personal property, which was deducted from their insurance reimbursement of $12,700, resulting in a net payment of $2,800. Their AGI for 2009 was $30,000. What is the amount of casualty loss that Reynaldo and Sonya can claim on their joint return for 2009? 62. During the year 2009, Ricki, who is not self-employed and does not receive employer reimbursement for business expenses, drove her car 5,000 miles to visit clients, 10,000 miles to get to her office, and 500 miles to attend business-related seminars. She spent $300 for airfare to another business seminar and $200 for parking at her office. Using the car expense rate of 55 cents per mile, what is her deductible transportation expense? *********************************************** ACC 401 Week 2 Quiz For more classes visit www.snaptutorial.com ACC 401 Week 2 Quiz

6. *********************************************** ACC 401 Week 3 Assignment Chapter 6 For more classes visit www.snaptutorial.com 39. David is a college professor who does some consulting work on the side. He uses 25% of his home exclusively for the consulting practice. He is single and 63 years old. His AGI (without consideration of consulting income) is $45,000. Other information follows: Income from consulting business $4,000 Consulting expenses other than home office 1,500 Total costs relating to home: Interest and taxes 6,500 Utilities 1,500

7. Maintenance and repairs 450 Depreciation (business part only) 1,500 43. Janet purchased her personal residence in 2000 for $250,000. In January 2009 she converted it to rental property. The fair market value at the time of conversion was $210,000. a. Determine the amount of cost recovery that can be taken in 2009: b. Determine the amount of cost recovery that could be taken in 2009 if the fair market value of the property were $350,000: Chapter 7 49. Ricardo acquired a warehouse for business purposes on August 30, 1992. The building cost $200,000. He took $133,333 of depreciation on the building, and then sold it for $350,000 on July 1, 2009. What is the amount and nature of Ricardo’s gain or loss on the sale of the warehouse? 51. In 2009, Juanita sold stock considered short-term for a gain of $875 and stock considered long-term for a loss of $2,400. She also had a $2,000 short-term loss carryover from 2008 and a $240 long-term loss carryover from 2008. What amount will be shown as a short-term gain (loss) for 2009? What amount will be shown as a long-term gain (loss) for 2009? c. Will there be a carryover to 2010? If so, what is the nature and amount of the carryover? Chapter 8 37. Matt and Marie own a vacation home at the beach. During the year, they rented the house for 42 days (6 weeks) at $890 per week and

8. used it for personal use for 58 days. The total costs of maintaining the home are as follows: Mortgage interest $4,200 Property taxes 700 Insurance 1,200 Utilities 3,200 Repairs 1,900 Depreciation 5,500 a. What is the proper tax treatment of this information on their tax return using the Tax Court method? b. Is there an option for how to allocate the expense between personal and rental use? Explain c. What is the proper tax treatment if Matt and Marie rented the house for only 14 days? 8. Janet owns a condominium at the beach. She incurs the following expenses: Mortgage interest $1,300 Property taxes 800 Insurance 1,500 Utilities 1,800

9. Repairs 300 Depreciation 4,000 What the proper treatment of these expenses is as applied to the following situations? Use the Tax Court allocation method, if applicable. *********************************************** ACC 401 Week 3 Quiz For more classes visit www.snaptutorial.com ACC 401 Week 3 Quiz *********************************************** ACC 401 Week 4 Assignment Chapter 9, Problem 42 problem 49

10. For more classes visit www.snaptutorial.com 42. Tim and Martha paid $7,900 in qualified employment-related expenses for their three young children who live with them in their household. Martha received $1,800 of dependent care assistance from her employer, which was properly excluded from gross income. The couple had $57,000 of AGI earned equally by Tim and Martha. What amount of child and dependent care tax credit can they claim on their Form 1040? How would your answer differ (if at all) if the couple had AGI of $36,000 that was entirely earned by Tim? 49. Jeremy and Celeste paid the following for their daughter, Alyssa, to attend University of Colorado, during 2009. Alyssa was in her first year of college and attended full-time: Tuition and fees (for fall semester 2009) $1,950 Tuition and fees (for spring semester 2010)1,000 Books 600 Room and board 1,200 the spring semester at University of Colorado begins in January. In addition to the above, Alyssa’s uncle Devin sent $800 as payment for her tuition directly to the University. Jeremy and Celeste have modified AGI of $165,000. What is the amount of qualifying expenses for purposes of the Hope credit? What is the amount of Hope credit that Jeremy and Celeste can claim based on their AGI? Chapter 10, complete problem 49 and problem 57. 49. Allison is paid $500 per week. What is the amount of federal income tax withheld from Allison’s paycheck under the following conditions? Use the percentage method table in the appendix to this chapter. a. Allison is single and claims three withholding allowances b. Allison is married and claims three withholding allowances c. Allison is single and claims one withholding allowance

11. 57. Jones Company has the following employees on payroll: Calculate the payroll for the last pay period in February. Include in your calculations federal withholding, FICA, and FUTA. Assume that Jones Company received the maximum credit for state unemployment taxes Chapter 11, complete problem 49 and problem 52. Submit these items to your instructor. 49. Will, who is single and under age 50, is employed as a full-time tax accountant at a local manufacturing company where he earns $60,000 per year. He participates in a pension plan through his employer. Will also operates a small tax practice in his spare time during tax season and has net Schedule C income of $8,000. He is interested in establishing and contributing to other retirement plans. What options are available to Will? 52. Ken is a self-employed architect in a small firm with four employees: himself, his office assistant, and two drafters, all of whom have worked for Ken full-time for the last four years. The office assistant earns $30,000 per year and each drafter earns $40,000. Ken’s net earnings from self-employment (after deducting all expenses and one-half of self-employment taxes) are $305,000. Ken is considering whether to establish an SEP plan and has a few questions. *********************************************** ACC 401 Week 4 Quiz For more classes visit

12. www.snaptutorial.com ACC 401 Week 4 Quiz *********************************************** ACC 401 Week 5 Final Paper Assignment For more classes visit www.snaptutorial.com Q:Appendix A Please use this information for your Tax Return and Paper. *All people, businesses, and information are fictional. Any relation to an actual person or business is accidental. Harold Petersan SSN: 0XX-01-1XXX Date of Birth (DOB): 05/27/1975 Gross Pay: $51,750 401(k) contributions: $4,140 Healthcare costs (payroll deductions): $1347 Reported wages: $46,263

13. Social Security Wages: $50,403 Medicare Wages: $50,403 State Wages: $46,263 Taxes withheld: Federal: $2896.06 Social Security: $3124.99 Medicare: $730.34 State: $682.38 sdi (mandatory disability insurance): $393.24 Employer: PointMark, INC Address: 1111 One Park Place City: One City State: California Zip code: 11111 Employer’s FED ID number: 33-01XXX11 Sarah Petersan SSN: 001-02-XXXX DOB: 08/11/1979 Gross Pay: $50,000 401(k) contributions: $4,000 Healthcare costs (payroll deductions): $1347 Reported wages: $44,653 Social Security Wages: $48,653 Medicare Wages: $48,653 State Wages: $44,653 Taxes withheld: Federal: $2795.28 Social Security: $3016.49 Medicare: $704.98 State: $658.63 sdi (mandatory disability insurance): $379.55 Employer: Company One Address: 1111 Place Road City: One City State: California

14. Zip code: 11112 Employer’s FED ID number: 33-01XXX22 Dependent: Tara Peter san SSN: 001-XX-XX00 DOB: 12/29/2004 Child Care Costs: $10,320 Child Care Provider: fabulous day care center Address: 121 Place Road City: One City State: California Zip code: 11111 Identifying number: 33-XXXX011 Life Change Events Home Sale: Primary residence sale price $520,000 cost basis (incurred three years prior) $300,000 Property Tax paid: $1,500 Mortgage Interest paid: $14,400 ***********************************************