Bonnie and Jake (35 and 36, respectively) are married with no dependents and live in Montana (not a community property state) Because Jake has large medical expenses, they seek your advice about filing separatley to save taxes. Their income and expenese for 2014 are as follows:

Bonnie's Salary 42500

Jake's Salary 26000

Interest Income 1500

Rental loss from actively managed rental property (23000)

Jake's unreimbursed medical expenses 8500

All other itemized deductions:*

Bonnie 9000

Jake 3400

*none subject to limitations

Determine whether Bonnie and Jake should file jointly or separatley for 2014. If required, round to the nearest whole number.

Bonnie Jake Joint

AGI ? ? ?

Total itemized deductions ? ? ?

Personal exemptions 3950 3950 7900

Taxable income ? ? ?

Should Bonnie and Jake file jointly or separatley for 2014?