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Wanda Is a Single Taxpayer and an Elementary School Teacher

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Wanda is a single taxpayer and an elementary school teacher.She also tutors students in her home as a small business.During 2018, Wanda purchased $300 in school supplies for her classroom.She also purchased $400 in supplies and materials for her tutoring business.Lastly, she uses a 200 square feet spare bedroom in her house to tutor her clients.Occasionally, her mother also stays in that room during holidays.If Wanda elects to use the simplified method for her home office, what are her deductions based on the information provided (ignore any income limitations)?


Definitions:

Product Development

The process of designing, creating, and marketing new products or improving existing ones to satisfy customer needs and gain a competitive advantage.

Diversification

A risk management strategy that mixes a wide variety of investments within a portfolio.

Product Development

The creation of new products or the improvement of existing ones, involving idea generation, design, testing, and commercialization processes.

Market Penetration

An indicator of the total sales or use of a product or service relative to the maximum potential market for that product or service.

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