A. Marlene, a cash basis taxpayer, invests in Series EE U.S Government savings bonds and bank certificates of deposits (CDS). Determine the tax consequences of the following on her 2023 gross income:

1. On September 30th, 2023, she cashed in Series EE Bonds for $10,000. She purchased the bonds in 2013 for $7,090. Th yield to maturity on the bonds was 3.5%.
2. On July 1st, 2022, she purchased a 24-month CD for $10,000. The CD matures on June 30th, 2024, and will pay $10,816, yielding a 4% annual return.
3. On July 1st, 2023, she purchased a 12-month CD for $10,000. The maturity date on the CD was June 30th, 2024, when Marlene will receive $10,3000.