During the Current Year, Seth, a Self-Employed Individual, Paid the Following

question 7

Multiple Choice

During the current year, Seth, a self-employed individual, paid the following taxes: $$\begin{array} { l r } \text { Federal income tax } & \$ 15,000 \\\text { State income tax } & \$ 8,500 \\\text { Real estate taxes on land in South America (held as an investment) } & \$ 1,000 \\\text { State sal es taxes } & 300 \\\text { Personal property taxes based upon value } & \$ 1,600 \\\text { Federal self-employment tax } & \$ 800\end{array}$$ What amount can Seth claim as an itemized deduction for taxes paid during the current year?

• A)$10,100
• B)$11,400
• C)$9,500
• D)$10,000
• E)None of these

---

Definitions:

Matrix Structure

An organizational structure that combines two or more types of departmentalization, typically project and functional, to facilitate the horizontal flow of information.

Functional Structure

An organizational design where the company is divided into departments based on function or specialization, such as marketing, finance, and human resources.

Organic Structure

An organizational configuration that is flexible, decentralized, and has low levels of formalization, allowing it to adapt quickly to changes.

Divisionalized Structure

An organizational layout where operations are grouped into autonomous divisions based on products, services, or markets.