a.

fide deductible expenses are as follows:

Expenses paid on rental property owned by Saul 3,800

IRA Pension contribution 3,000

Interest paid on a student loan 1,200

What is Saul's AGI for 2021 ?

		$43,200
		$48,800
		$50,000
		$42,000

b.

In 2021, Khalid and Rashad had an automobile accident caused by Khalid's negligence. Rashad received $20,000 for the loss of income while he was recovering from the accident, $15,000 for medical expenses, and $6,000 punitive damages. The payments were received in 2021. As a result of the above, Rashad must include in gross income:

		$41,000
		$20,000
		$6,000
		$0