CH O O SIN G AN D P RE P ARIN G AN IN D I ID UAL TAX FORM . USE WOR SH E E TS 3.1 AN D 3.2. Mark Huang is single, graduated from college in 2015 and began work as a systems analyst in July of that year.

He is preparing to file his income tax return for 2015 and has collected the financial information shown below for that calendar year.

Scholarship used to pay tuition $ 5,750 Scholarship used to pay room and board 1,850 Salary 30,250 Interest income 185 Itemized deductions 3,000 Income taxes withheld 2,600

a. Prepare Mark’s 2015 tax return, using a $6,300 standard deduction, a personal exemption of $4,000, and the tax rates given in Exhibit 3.3. Which tax form should Mark use, and why?

(You may obtain tax forms on the IRS web site, www.irs.gov. Either leave blank or make up information not provided, such as social security number and address.)

b. Prepare Mark’s 2015 tax return using the data in part a along with the following information:

IRA contribution $5,000 Cash dividends received 150 Which tax form should he use in this case? Why? LO1