In February 2017,Amelia's Home,which Originally Cost $150,000,is Damaged by a Windstorm.Amelia

question 24

Multiple Choice

In February 2017,Amelia's home,which originally cost $150,000,is damaged by a windstorm.Amelia had refinanced the home shortly before the storm,and it was appraised at $200,000.After the storm,the home appraised at $120,000.Amelia has received no insurance reimbursement by December 31,but expects to recover 90 percent of the loss.In the subsequent year,the insurance company pays Amelia $50,000.Amelia's AGI is $85,000 in 2017,and her 2018 AGI is $80,000.Amelia suffers no other casualty losses in either year.Amelia may deduct

• A)$7,900 in 2017.
• B)$22,000 in 2018.
• C)$13,900 in 2018.
• D)$14,000 in 2018.

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Definitions:

Dishwashers

Appliances designed for automatically cleaning dishes, cutlery, and other utensils, significantly reducing manual labor in kitchens.

Manufacturing Cost

The total expense related to the production of goods, including labor, materials, and overhead costs.

Metal Price

The cost of purchasing a specific type of metal on the market, influenced by factors such as supply, demand, and geopolitical events.