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Alyssa is a head of household, has $27,000 of taxable income in 2018 from non-capital gain or loss sources, and has the following capital gains

Alyssa is a head of household, has $27,000 of taxable income in 2018 from non-capital gain or loss sources, and has the following capital gains and losses. (10 points)

28% long-term capital gain of $ 4,300

28% long-term capital loss (2,000)

0%/15%/20% long-term capital gain 19,000

Short-term capital loss (1,700)

A)What is Alyssa’s taxable income? Show and label all calculations.

B)How will this taxable income be taxed? Indicate what portion of the taxable income will be taxed at ordinary rates versus preferential rates. Be specific as to which preferential rates apply.

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