Mike Operates a Fishing Outfitter as an Accrual-Method Sole Proprietorship

question 74

Essay

Mike operates a fishing outfitter as an accrual-method sole proprietorship. On March 1 ^st of this year, Mike received $15,000 for three outfitting trips. This is the first time Mike agreed to such a payment and he is obligated to outfit one trip per year for the next three summers, beginning this year. How much income must Mike recognize in each of the next three years if he is attempting to minimize his tax burden?

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Definitions:

Mortuary Temple

Ancient temples erected for the worship of deceased pharaohs or rulers, often part of their tomb complex in Egypt and other ancient cultures.

Architectural Form

pertains to the physical shape and structure of buildings and spaces, defined by elements such as line, shape, space, and texture.

Pyramid

A monumental structure with a square or triangular base and sloping sides that meet in a point at the top, historically used as tombs in ancient civilizations, notably Egypt.

Mastaba

Arabic, “bench.” An ancient Egyptian rectangular brick or stone structure with sloping sides erected over a subterranean tomb chamber connected with the outside by a shaft.