Strayer ACC 307 Final Exam Part 1 NEW Check this A+ tutorial guideline at http://www.assignmentcloud.com/acc-307-strayer/acc-307-final-exam-part-1-new For more classes visit http://www.assignmentcloud.com 1. The § 222 deduction for tuition and related expenses is available: 2. A worker may prefer to be classified as an employee (rather than an independent contractor) for which of the following reasons: 3. Aaron is a self-employed practical nurse who works out of his home. He provides nursing care for disabled persons living in their residences. During the day he drives his car as follows 4. Jordan performs services for Ryan. Which of the following factors indicate that Jordan is an independent contractor, rather than an employee

1. Strayer ACC 307 Final Exam Part 1 NEW
Check this A+ tutorial guideline at
http://www.assignmentcloud.com/acc-
307-strayer/acc-307-final-exam-part-1-
new
For more classes visit
http://www.assignmentcloud.com
1. The § 222 deduction for tuition and related
expenses is available:
2. A worker may prefer to be classified as an
employee (rather than an independent
contractor) for which of the following
reasons:
3. Aaron is a self-employed practical nurse
who works out of his home. He provides
nursing care for disabled persons living in
their residences. During the day he drives his
car as follows
4. Jordan performs services for Ryan. Which
of the following factors indicate that Jordan is
an independent contractor, rather than an
employee?

2. 5. Aiden performs services for Lucas. Which of
the following factors indicate that Aiden is an
employee, rather than an independent
contractor?
6. Paul, a calendar year married taxpayer,
files a joint return for 2013. Information for
2013 includes the following:
AGI $175,000
State income taxes 13,500
State sales tax 3,000
Real estate taxes 18,900
Gambling losses (gambling gains were
$12,000) 6,800
Paul’s allowable itemized deductions for 2013
are:
7. Pedro’s child attends a school operated by
the church the family attends. Pedro made a
donation of $1,000 to the church in lieu of the
normal registration fee of $200. In addition,
Pedro paid the regular tuition of $6,000 to the
school. Based on this information, what is
Pedro’s charitable contribution?

3. 8. Barry and Larry, who are brothers, are
equal owners in Chickadee Corporation. On
July 1, 2013, each loans the corporation
$10,000 at an annual interest rate of 10%.
Both shareholders are on the cash method of
accounting, while Chickadee Corporation is on
the accrual method. All parties use the
calendar year for tax purposes. On June 30,
2014, Chickadee repays the loans of $20,000
together with the specified interest of $2,000.
How much of the interest can Chickadee
Corporation deduct in 2013?
9. Your friend Scotty informs you that he
received a “tax-free” reimbursement in 2013
of some medical expenses he paid in 2012.
Which of the following statements best
explains why Scotty is not required to report
the reimbursement in gross income?
10. Emily, who lives in Indiana, volunteered to
travel to Louisiana in March to work on a
home-building project for Habitat for
Humanity (a qualified charitable
organization). She was in Louisiana for three
weeks. She normally makes $500 per week as
a carpenter’s assistant and plans to deduct

4. $1,500 as a charitable contribution. In
addition, she incurred the following costs in
connection with the trip: $600 for
transportation, $1,200 for lodging, and $400
for meals. What is Emily’s deduction
associated with this charitable activity?
11. Josh has investments in two passive
activities. Activity A (acquired three years
ago) produces income of $30,000 this year,
while Activity B (acquired two years ago)
produces a loss of $50,000. What is the
amount of Josh’s suspended loss for the year?
12. Rick, a computer consultant, owns a
separate business (not real estate) in which
he participates. He has one employee who
works part-time in the business
13. Charles owns a business with two separate
departments. Department A produces
$100,000 of income and Department B incurs
a $60,000 loss. Charles participates for 550
hours in Department A and 100 hours in
Department B. He has full-time employees in
both departments
14. Sandra acquired a passive activity three
years ago. Until last year, the activity was

5. profitable and her at-risk amount was
$300,000. Last year, the activity produced a
loss of $100,000, and in the current year, the
loss is $50,000. Assuming Sandra has received
no passive income in the current or prior
years, her suspended passive loss from the
activity is:
15. Nell sells a passive activity with an
adjusted basis of $45,000 for $105,000.
Suspended losses attributable to this property
total $45,000. The total gain and the taxable
gain are: