David Purchased a Deli Shop on February 1^st of Last

question 20

Short Answer

David purchased a deli shop on February 1^st of last year and began to operate it as a sole proprietorship. David reports his personal taxes using the cash method over a calendar year, and he wants to use the cash method and fiscal year for his sole proprietorship. He has summarized his receipts and expenses through January 31^st of this year as follows:
What income should David report from his sole proprietorship?
$$\begin{array} { | l | r | r | } \hline & \text { Receipts } & \text { Exrenses } \\\hline \text { February thu. December last year } & \$ 112,000 & \$ 84,500 \\\text { January this year } & 10,400 & 6,200 \\\hline\end{array}$$

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Definitions:

Overweight

A condition where an individual carries more body fat than is considered healthy for their height, often assessed by body mass index (BMI).

Adults

Individuals who have reached the age at which they are considered legally responsible for their actions and capable of entering into binding contracts.

Sociological Wonder

The capacity to be amazed or intrigued by the complexities and nuances of social life and human interaction within society.

Physicality

The quality or aspect of being physical or bodily, often emphasizing the tangible, material, or corporeal nature of something.