Ask Question
BusinessBusiness
12 July, 09:17

Stuart, a cash-basis taxpayer, operates a small retail store. His books show the following income items for the year: Sales - paid, $84,357; Sales - unpaid, $1,549; and Sale of cardboard packaging to recycling company, $1,314 - paid. What does Stuart report as his gross income on his Schedule C? a. $87,220b. $85,906c. $85,671d. $84,357

+1
Answers (1)
  1. 12 July, 11:20
    0
    Answer: C - $85,671

    Explanation: Stuart being a cash basis tax payer, reports all his income and deductions or payments for the period on actual cash paid during the year.

    His tax report must contain only transactions paid for during the year and his report should not contain any receivable or payable for the year.

    From the above question, Stuart Gross Income is:

    Sales (Paid) - $84,357 + Sale of cardboard packaging to recycling company (Paid) - $1,314. Total Gross income = $85,671
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Stuart, a cash-basis taxpayer, operates a small retail store. His books show the following income items for the year: Sales - paid, ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
What is the difference between financial and managerial accounting?
Answers (1)
The December 31, 2021, adjusted trial balance for Fightin' Blue Hens Corporation is presented below. Accounts Debit Credit Cash $ 11,400 Accounts Receivable 144,000 Prepaid Rent 5,400 Supplies 27,000 Equipment 340,000 Accumulated Depreciation $
Answers (1)
When you're using accounting software why would you use hot keys and shortcuts? A. To start the program B. To quickly access commands C. To input data for you D. To write checks
Answers (2)
A cheerleading team is selling cookie dough and pizza kits to raise at least $3,600 for their summer camp expenses.
Answers (1)
Pierce Company incurred $150,000 of research and development costs in its laboratory to develop a new product. It spent $20,000 in legal fees for a patent granted on January 2, 2017.
Answers (1)
New Questions in Business
The primary goal of the Consumer Financial Protection Bureau is: A To monitor your credit report and ensure your identity and other sensitive data has not been compromised. B To protect against abusive or deceptive debt collection purposes.
Answers (1)
Jake Skinner purchases a big screen TV on credit and will repay the loan with one payment at the end of 90 days. What type of credit did Jake use?
Answers (1)
Which most likely results from producers engaging in specialization? Producers reduce their costs. Producers increase their market share. Producers decrease the materials needed for production. Producers always offer more competitive pricing.
Answers (1)
The workers at State Hospital, a public sector employer, and Acme Inc, a private employer, are subject to speech censorship and arbitrary job termination. Constitutional issues are present only for the State Hospital workers. TrueFalse
Answers (1)
Kyle and lyle want to pool their inheritance money to make a joint investment. they are young and are willing to accept moderate to high risk over a number of years. which combination of investment options best suits their needs?
Answers (1)
Home » Business » Stuart, a cash-basis taxpayer, operates a small retail store. His books show the following income items for the year: Sales - paid, $84,357; Sales - unpaid, $1,549; and Sale of cardboard packaging to recycling company, $1,314 - paid.
Sign Up Forgot Password?