Nissa owns a building (adjusted basis of $600,000 on january 1, 2019) that she rents to len, who operates a restaurant in the building. the city health department closed the restaurant for three months during 2019 because of health code violations. under macrs, the cost recovery deduction for 2019 would be $20,500. however, nissa deducted cost recovery only for the nine months the restaurant was open because she waived the rent income during the three-month period the restaurant was closed..
a. what is the amount of the cost recovery deduction nissa should report on her 2019 income tax return?
nissa must report on her income tax return the greater of the depreciation allowed or allowable. the cost recovery deduction that nissa should report on her 2019 income tax return is $
b. the adjusted basis of the building at the end of 2019 is $

Afreelance​ singer-songwriter is planning the restoration of a recently purchased civil​ war-era farmhouse. while he professes an enjoyment​ of, and talent in the construction​ trades, the theory of comparative advantage implies that a. the value of what he imports​ (in this​ case, professional contractor​ services) must equal the value of what he exports​ (songs). b. he should concentrate on the restoration work since his​ out-of-pocket costs will be much lower than if he hires professionals. c. ​self-sufficiency is​ advantageous, hence he should split his time between music and construction. d. the income lost while away from music will likely exceed the savings realized by doing the work​ himself, thus, he should hire professionals to do the restoration work. e. he ought to do as much of the work himself as possible since imports​ (in this​ case, professional contractor​ services) should always be restricted to those things that cannot be done internall

An electronics store is running a promotion where for every video game purchased, the customer receives a coupon upon checkout to purchase a second game at a 50% discount. the coupons expire in one year. the store normally recognized a gross profit margin of 40% of the selling price on video games. how would the store account for a purchase using the discount coupon?

The common stock and debt of northern sludge are valued at $65 million and $35 million, respectively. investors currently require a return of 15.9% on the common stock and a return of 7.8% on the debt. if northern sludge issues an additional $14 million of common stock and uses this money to retire debt, what happens to the expected return on the stock? assume that the change in capital structure does not affect the interest rate on northern’s debt and that there are no taxes.