Mary operates a successful bicycle shop as a sole proprietor. After several years of profits, in 2020 she decided to branch out and turn her baking hobby into a business by opening a cupcake shop. She...

Mary operates a successful bicycle shop as a sole proprietor. After several years of profits, in 2020 she decided to branch out and turn her baking hobby into a business by opening a cupcake shop. She spent a total of $52,560 on securing a lease for a prime location (real estate agent’s and attorney’s fees), training em-ployees, and pre-opening advertising. She opened “BabyCakes” on May 1, 2020. In preparing a Schedule C to be included with Mary’s 2020 return, you included $___ as a deduction for start-up costs.

Your task: State and explain the correct amount of Mary’s 2020 start-up costs deduction.