Vicki owns and operates a news agency (as a sole proprietorship) .During 2013,she incurred expenses of $24,000 to increase circulation of newspapers and magazines that her agency distributes.For regular income tax purposes,she elected to expense the $24,000 in 2013.In addition,Vicki incurred $15,000 in circulation expenditures in 2014 and again elected expense treatment.What AMT adjustments will be required in 2013 and 2014 as a result of the circulation expenditures?
A) $16,000 positive in 2013,$2,000 positive in 2014.
B) $16,000 negative in 2013,$2,000 positive in 2014.
C) $16,000 negative in 2013,$10,000 positive in 2014.
D) $16,000 positive in 2013,$10,000 positive in 2014.
E) None of the above.
Correct Answer:
Verified
Q62: Mauve,Inc.,has the following for 2012,2013,and 2014
Q65: During the year, Green Corporation (a U.S.corporation)
Q66: Omar acquires used 7-year personal property for
Q67: Factors that can cause the adjusted basis
Q67: During the year,Green,Inc.,incurs the following research
Q69: Sand Corporation,a calendar year taxpayer,has alternative minimum
Q70: Lemon,Inc.,has the following items related to
Q74: Several years ago, Sarah purchased a structure
Q75: Black Company paid wages of $180,000, of
Q77: Amber is in the process this year
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents