1. Franklin Stewart arrived at the following tax information:

Gross salary	$	49,300
Interest earnings		500
Eligible dividend income		140
Basic personal amount		3,650
Union dues		8,740
Moving expense (50 km for employment)		1,690

What amount will Franklin report as taxable income?(Round your answer to the nearest dollar amount. Omit the "$" sign in your response.) Taxable income $

2. What is the average tax rate for a person who paid taxes of $5,136.25 on a total taxable income of $40,820? (Round your answer to 2 decimal places. Omit the "%" sign in your response.) Average tax rate %

3. Based on the following data, will Ann Wilton receive a federal tax refund or owe additional taxes in 2019?(Input the amount as a positive value. Round your intermediate calculations and final answer to 2 decimal places. Omit the "$" sign in your response.)

Taxable Income	Tax Rate
0-$47,630	15%
$47,630-$95,259	20.5%
$95,259-$147,667	26%
$147,667-$210,371	29%

Net income(line 23600)	$	51,290
Deductions to determine net income	$	11,630
Federal income tax withheld	$	7,099
Total non-refundable tax credit amounts, excluding medical expenses	$	12,174
Medical expenses	$	3,000

4. Which item is treated equally for all tax payers, regardless of tax bracket?

a. eligible dividends.

b. tax credit

c. dividend income

d. employment income

e. RRSP deduction

5. Common examples of __________ income are the returns on investments held in registered retirement saving plans and registered pension plans.

a. tax-exempt

b. lost

c. dividend taxed

d. capital gain taxed

6. The use of legitimate methods to reduce one's taxes is tax ____________.

a. evasion

b. avoidance

c. exemptions

d. deferred techniques

e. reductions

7. Taxable income is used to compute a person's

a exemptions.

b. income tax.

c. deductions.

d. tax credit.

e. exclusions.

8. Which of the following would result in a reduction of taxable income?

a portfolio income

b. tax credits

c. union dues

d. business income

e. earned income

9. Phillip Marnier had earnings from his salary of $40,000, interest on savings of $700, and a contribution to a registered retirement saving plan of $1,500. Phillip's net income would be

a. $39,200.

b. $40,000.

c. $39,300

d. $38,500.

e. $41,500.

10. Jack sold $20,000 worth of stocks that were purchased one year ago for $15,000. He is in a 22% tax bracket. Jack's capital gains taxes are:

a. $500.

b. $550.

c. $1,100.

d. $2,500.

e. $4,400.

11. Reductions from gross income for such items as registered retirement account contributions and RESP payments will result in

a. business income

b. taxable income.

c. earned income.

d. net income.

e. total exclusions.

12. Which of the following is a standard tax credit?

a. child care expenses

b. RRSP contributions

c. Union Dues

d. the basic personal amount

e. moving expenses

13. Which of the following is an example of a tax credit?

a. mortgage interest

b. capital losses

c. individual retirement account contributions

d. caregiver and medical expenses

e. net business income

14. Anne had earnings from her salary of $40,000 and a contribution to a registered retirement saving plan of $1,500, and a contribution of $5000 to a TFSA. Anne's' net income would be

a. $33,500.

b. $35,000

c. $38,500

15. Increases in the value of assets since their original purchase date such as: stocks, bonds, and real estate.

a. Employment

b. Net business

c. Investment

d. Capital gains

e. Other