Franca Has AGI of $130,000 This Year

question 47

Multiple Choice

Franca has AGI of $130,000 this year.After applying the $100 floor,she has $26,000 of federally declared disaster losses on personal assets,$12,000 of non-federally declared casualty losses on personal assets,and $23,000 of personal casualty gains for the year.What is Franca's deductible casualty loss?

• A)$15,000
• B)$0
• C)$13,000
• D)$2,000

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Definitions:

Materials Price Variance

The difference between the actual cost of materials used in production and the standard cost of those materials.

Materials Quantity Variance

The difference between the actual quantity of materials used in production and the standard quantity expected, multiplied by the standard cost per unit of material.

Cash Account

A financial account that tracks the money that is readily available for a company or individual, including physical currency and balances in bank accounts.

Raw Materials

The basic materials from which a product is made, often used in manufacturing processes.