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Subjective Short Answer 31. Alfredo, a self-employed patent attorney, flew from his home in Chicago to Miami, had lunch alone at the Chicago airport, conducted business in the afternoon, and returned to Chicago in the evening. His expenses were as follows: Airfare Airport parking (Chicago) Lunch Taxis (Miami) $800 50 40 42 What is Alfredo's deductible expense for the trip? 32. Anne sells a rental house for $300,000 (adjusted basis of $255,000). During her ownership, $60,000 of losses have been suspended under the passive activity loss rules. Determine the tax treatment to Anne on the disposition of the property. 33. Nigel purchased a blending machine for $150,000 for use in his business. As to the machine, he has deducted $32,200 of depreciation, maintenance costs of $5,200, and repair costs of $4,000. Calculate Nigel's adjusted basis for the machine. 34. Partnership P ("P") has two individual partners (A and B). Each are 50% owners in P. At the beginning of Year 1, A's outside basis was $1,000 and B's outside basis was $10,000. During Year 1 P earned $2,000 of income from operations, $1,000 of tax exempt income, and paid off $10,000 of a recourse liability. What income, gain or loss, if any, will A report on A's individual income tax return (for Year 1) as a result of being a partner in P

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