Question regarding the medical expense


Problem:

Wayne developed heart problems and was unable to climb the stairs to reach his second-floor bedroom. His physician advised him to add a first-floor bedroom to his home. The cost of constructing the room was $42,000. The increase in the value of the residence as a result of the room addition was determined to be $18,000. In addition, Wayne paid the contractor $7,500 to construct an entrance ramp to his home and $10,500 to widen the hallways to accommodate his wheelchair. Wayne%u2019s AGI for the year was $120,000.

Requirement:

Question: How much of these expenditures can Wayne deduct as a medical expense?

a. $15,000.

b. $24,000.

c. $33,000.

d. $60,000.

e. None of the above.

Note: Please provide through step by step calculations.

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Accounting Basics: Question regarding the medical expense
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