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James owns a home in Lake Tahoc, Nevada, that he rented for $4,600 for 40...

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Accounting

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James owns a home in Lake Tahoc, Nevada, that he rented for $4,600 for 40 days during the summer. He lived there for a total of 120 days, and the rest of the year the house was vacant. The expenses for the home included $6.000 in mortgage interest, $900 in property taxes, $1,300 in maintenance and utilities, and $2,500 in depreciation. What is his net income or loss from the rental of his home (without considering the passive loss limitation)? Use the IRS method for allocation of expenses. Multiple Choice $0. $1,925 net income. O $4,600 net income. $6,100 net loss

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