1. Samuel and Annamaria are married, file a joint return, and have three qualifying children. In 2016, they earn wages of $33,800 and no other income.

Round your intermediate computations and final answer to the nearest dollar.

The earned income credit is:

2. Samuel and Annamaria are married, file a joint return, and have three qualifying children. In 2016, they earn wages of $34,000 and no other income.

Round your intermediate computations to two decimal places and your final answer to the nearest dollar.

The earned income credit is:

3. Paola and Isidora are married, file a joint tax return, report modified AGI of $148,000, and have one dependent child, Dante. The couple paid $12,000 of tuition and $10,000 for room and board for Dante (a freshman). Dante is a full-time student and claimed as dependent by Paola and Isidora.

For 2016, Paola and Isidora may claim an American Opportunity Credit of :

4. Luana sells Beta Corporation stock with an adjusted basis of $58,000 and a fair market value of $70,000 for $64,000.

5. Jacquie purchases 300 shares of Ion Corporation stock on April 30, 2014, for $4,500 ($15 a share) and another 150 shares of Ion stock on February 3, 2015 for $3,750 ($25 a share). She sells 120 shares of the stock on May 9, 2016.

Determine the cost of the stock sold, assuming that Jacquie cannot adequately identify the shares. Per share: $ Total cost: $

6. Heather owns 400 shares of Diego Corporation common stock for which she paid $4,000. She receives a nontaxable stock dividend of 20 shares of preferred stock on her common stock. The fair market values on the date of distribution of the preferred stock dividend are $20 a share for common stock and $100 a share for preferred stock.

What is Heathers basis in the common and preferred shares?

Heather's basis for the common stock is $ and $ for the preferred stock.

7. Juliana purchased land in 2013 for $60,400. She gave the land to Tom, her brother, in 2016, when the fair market value was $84,560. No gift tax is paid on the transfer. Tom subsequently sells the property for $76,104.

a. Tom's basis in the land is $ ______________and he has a realized gain/loss of $_________

b. Assume, instead, that the land has a fair market value of $54,360 and that Tom sold the land for $51,642. Tom's basis in the land is $ __________and he has a realized gain/loss of $__________