Steve Smith Tax Return Problem

Steve's business is named "Steve Smith Sales". His business is located at 123 ELM street, San Diego, CA 92101, and his employer identification number if 93-3488888. Steve's gross receipts during the year were $820,000. Steve uses the cash method of accounting for his business. Steve's business expenses are as follows:

On April19, Steve moved his business out of the old offices at 3023 Bird lane into a newly constructed and equipped office on ELM street. Steve sold the old office building and all its furnishings. Steve's expenditures for the new office building are as follows: