Stella watters is a cpa and operates her own accounting firm (watters cpa llc). as a single member llc, stella reports her accounting firm operations as a sole proprietor. stella has qbi from her accounting firm of $540,000, she reports w–2 wages of $156,000, and the unadjusted basis of property used in the llc is $425,000. stella is married and will file a joint tax return with her spouse. their taxable income before the qbi deduction is $475,000, and their modified taxable income is $448,000. determine stella’s qbi deduction for 2019.

Stormie zanzibar owns a bakery in the fictitious country of olombia. each month the government’s market ministry mails her a large list of the regulated price of goods which include products like bread, muffins and flat bread. the list also dictates the types of goods she can sell at the bakery and what she is to charge. because of the regulations placed on these goods, stormie has increased her production of sweets, pies, cakes, croissants and buns and decreased her supply of breads, muffins and flat bread. she has taken these steps because the sweet goods’ prices are not government controlled. stormie zanzibar lives under what type of economy?