Cindy operates a computerized engineering drawing business from her home. Cindy maintains a home office...

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Accounting

Cindy operates a computerized engineering drawing business from her home. Cindy maintains a home office and properly allocates the following expenses to her office:
Line Item Description Amount
Depreciation $1,500
Utilities 500
Real estate taxes 325
Mortgage interest (100-percent deductible)500
Question Content Area
a. Assume that Cindy earns income of $4,400 from her business for the year before deducting home office expenses. She has no other expenses associated with the business.
Calculate Cindy's deduction for home office expenses.

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