Mr. and Mrs. Howell are married taxpayers who file a joint return. They have no dependents. During 2020, they sold the following investment assets: Purchase Sales Stock Date Acq Date Sold Price Proceeds 300 Shares of IBM Corp. 11/22/2017 5/6/2020 $ 10,250 $ 13,700 4/3/2018 10/5/2020 $ 147,000 $ 220,000 8/14/2019 3/2/2020 12/21/2020 $ 14,700 $ 15,00 3000 shares of Apple Inc. 2100 shares of Cisco Inc. 8/1/2020 $ 52,500 63,250 420 shares of Vanguard mutual fund The Howells also provided you with the following additional information concerning 2020: In 2013, Mrs. Howell loaned $6,000 to a friend who was starting a new multilevel marketing company called LD3. The friend declared bankruptcy in 2020, and Mrs. Howell has been notified she will not be receiving any repayment of the loan. The Howells have a $2,300 short-term capital loss carryover and a $4,800 long-term capital loss carryover from prior years. The Howells earned $3,000 in municipal bond interest, $3,000 in interest from Pepsico Inc. bonds, and $4,000 in other taxable interest income. The Howells earned $3,000 in municipal bond interest, $3,000 in interest from Pepsico Inc. bonds, and $4,000 in other taxable interest income. The Howells earned $130,000 in salary during the year. They collected the following information related to their expenses in 2020. Property taxes $3,000 State income taxes withheld $6,500 Qualified interest on home mortgage 8,700 Sales and use taxes 4,250 Additional state income tax paid in 2020 with 2019 tax 250 return Investment interest expense 9,000 Charitable contributions - all cash 7,200 Tax preparation fees 2,500 Compute the Howell's federal income tax liability for 2020.