Sonya Started a Self-Employed Consulting Business in the Last Part

question 32

Essay

Sonya started a self-employed consulting business in the last part of the year and earned $40,000.She had been employed as manager in a consulting firm prior to starting her own business and had earned $125,000.
(a)What is Sonya's self employment tax for 2013?
(b)What is Sonya's deduction for AGI for the SE tax?

---

Definitions:

Managerial Work

Refers to the functions and activities performed by managers, including planning, organizing, leading, and controlling to achieve organizational objectives.

Early Contingency Theories

Theories suggesting that the effectiveness of a leader or management approach is contingent upon factors such as the organizational environment and task characteristics.

Path-goal Theory

A leadership theory that suggests leaders should adjust their leadership styles based on the context and the needs of subordinates to navigate them towards achieving a goal.

Situation Variables

Factors that can change the context or circumstances of an event or decision-making process, affecting outcomes in potentially unpredictable ways.