Jed Is an Electrician

question 4

Multiple Choice

Jed is an electrician. Jed and his wife are accrual basis taxpayers and file a joint return. Jed wired a new house for Alison and billed her $15,000. Alison paid Jed $10,000 and refused to pay the remainder of the bill, claiming the fee to be exorbitant. Jed took Alison to Small Claims Court for the unpaid amount and was awarded a $2,000 judgement. Jed was able to collect the judgement but not the remainder of the bill from Alison. What amount of loss may Jed deduct in the current year?

• A) $0
• B) $2,000
• C) $3,000
• D) $5,000
• E) None of the above

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Definitions:

Audience Interaction

The engagement or participation of the audience in the communication process, often seen in presentations, performances, or digital platforms.

Emotional Issues

Psychological challenges or concerns that affect an individual's feelings and emotional well-being.

Indirect Approach

A communication method where the main point is presented after the details or background information.

Negative News

Information or updates that are unfavorable or pessimistic, often impacting perceptions or decisions.