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Business, 14.12.2019 05:31 hinokayleen5053

Sabin is an artist and maintains an office (his studio) in his home. his office occupies 8% of the total floor space of his residence. gross income from his business is $24,000. expenses of the business (other than home office expenses) are $5,000.
sabin incurs the following home office expenses:

real property taxes on residence: $2,400
interest expense on residence: $4,000
operating expenses of residence: $2,200
depreciation on residence (based on 8% business use): $450.

a) assuming sabin uses the "regular method" to compute the office in the home deduction, his deduction is?
b) assuming sabin uses the "simplified method" to compute the office in the home deduction, his deduction is?

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