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Business, 21.11.2019 23:31 werdtotheblue691

Penny, a full-time biochemist, loves stock car racing. to feed her passion, she bought a used dirt-track car and has started entering some local dirt-track races. the prize money is pretty small ($1,000 for the winner), but she really is not in it for the money. penny reported the following income and expenses from her nights at the track: prize money $2,500 expenses: transportation from her home to the races 1,000 depreciation on the dirt-track car 4,000 entry fees 3,500 oil, gas, supplies, repairs for the dirt-track car 2,050 what are the tax effects of penny’s racing income and expenses assuming that the racing activity is a hobby for penny?

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Penny, a full-time biochemist, loves stock car racing. to feed her passion, she bought a used dirt-t...
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