1. Assuming the Workmans file a joint tax return, determine their gross income minus expenses on the doy care business (this is called total income on the Form 1040). 3. Assuming the Workmans live in California, a community property state, and that Diana and Ryan file separately, what is Diana's gross income minus expenses on the day care business? Answer is not complete. Complete this question by entering your answers in the tabs below. Assuming the Workmans file a joint tax return, determine their gross income minus expenses on the day care business (this is called total income on the Form 1040). 1. Assuming the Workmans file a joint tax return, determine their gross income minus expenses on the day care business (this is called total income on the Form 1040). 3. Assuming the Workmans Iive in California, a community property state, and that Diana and Ryan file separately, what is Diana's gross income minus expenses on the day care business? (8) Answer is complete but not entirely correct. Complete this question by entering your answers in the tabs below. Assuming the Workmans live in California, a community property state, and that Diana and Ryan file separately, what is Diana's gross income minus expenses on the day care business? Diana and Ryan Workman were martled on January 1 of last year. Ryan has an eight-yeat-old son, Jorge, from his previous mamage. Diana works as a computer programmer at Datafile Incorporated (Dl) earning a salary of $96,500. Ryan is seif. employed and runs a day care center. The Workmans reported the following financial information pertaining to their activities during the current year. 6. Diana eamed a $96,500 salary for the year. b. Diana borrowed $12,100 from DI to purchase a car. DI charged her 2 percent interest ($242) on the loan, which Diana pald on December 31. DI would have charged Diana $730 if interest had been calculated at the applicable federal interest rate. Assume that tax avoldance was not a motive for the loan. c. Ryan recelved $2.050 in alimony and $4,600 in child support payments from his former spouse. They divorced in 2016. d. Ryan won a $910 cash prize at his church-sponsored Bingo game. e. The Workmans recelved $550 of Interest from corporate bonds and $300 of interest from a municipal bond. Ryan owned these bonds before he marrled Daina. 1. The couple bought 52 shares of ABC incorporated stock for $41 per share on July 2 . The stock was worth $49 a share on December 31 . The stock paid a qualified dividend of $1 per share on December 1. 9. Ryan's father passed away on April 14. He inherited cash of $51,000 from his father and his baseball card collection, valued at $2,100. As the benefictary of his father's life insurance policy. Ryan atso recelved $151,000. h. The couple spent a weekend in Atiantic City in November and came home with gross gambiling winnings of $1,300. 1. Diana recerifd $600 cash for reaching 10 years of continuous service at DI. 1. Diana was hit and injured by a drunk driver while crossing a street at a crosswalk. she was unable to work for a month. She recelved $6,200 from her disability insurance. DI paid the premlums for Diana, but it reported the amount of the premtums as compensation to Diana on her year-end W2. k. The drunk diver who hit Diana in part (j) was required to pay her $2,100 medical costs, $1,600 for the emotional trauma she suffered from the accident, and $5.200 for punitive damages. 1. For meeting her performance goals this year, Diana was informed on December 27 that she would recelve a $5,100 year-end bonus. DI (located in Houston, Texas) malled Diana's bonus check from its payroll processing center (Tampa. Fiorida) on December 28. Diana didn't recelve the check at home until January 2 m. Ryon is a 10 percent owner of MNO Incorporated, a Subchapter S corporation. The company reported ordinary business income for the year of $94,000. Ryan acquired the MNO stock two years ago. n. Ryan's day care business collected $40,000 in revenues. In addition, customers owed him $3,500 at year-end. During the year, Ryan spent $6,000 for supplies, $2,000 for utitues, $16,000 for rent, and $550 for miscellaneous expenses. One customer gave him use of their vacation home for a week (worth $3,000 ) in exchange for Ryan allowing their child to attend the day care center free of charge. Ryan accounts for his business activites using the cash method of accounting 0. Diana's employer pays the couple's annual health insurance premiums of $6,000 for a qualified plan