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On December 31,2016,a Taxpayer Received the Notification That He Was

question 124

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On December 31,2016,a taxpayer received the notification that he was legally divorced.However,he lived with his spouse for 8 months during 2016.He has no dependent children.What status should he select when filing his tax return for 2016?


Definitions:

Total Revenue

The total amount of money received by a company from its sales of goods or services, before any expenses are subtracted.

Profit

The financial benefit that is realized when the amount of revenue gained from a business activity exceeds the expenses, costs, and taxes needed to sustain the activity.

Economic Profits

Profits exceeding the total cost of capital, including both the cost of debt and the opportunity cost of equity capital.

Explicit Costs

Expenses directly incurred in the course of running a business, such as wages and materials.

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