Bruce and Anna Wayne 1 child $78,000 gross annual combined salaries $2,000 invested in Bruce's IRA during the year $580 in a savings account interest $8,300 in medical expenses $15,500 in home mortgage interest $4,800 given to charity $5,600 paid in state income taxes $3,750 paid in local property taxes $4,000 Federal Income tax withheld during the year

Gross Income $78,580

AGI $76,580

Will the Wayne's itemize or take the standard deduction? If so, show the correct amount for whichever one they choose. They will choose the itemized deduction of $25,801.50 as it is higher than the standard deduction of $20,800 They will choose the standard deduction of $27,700 as it is higher than the itemized deduction of $25,100 They will choose the standard deduction of $27,700 as it is higher than the itemized deduction of $26,206.50 They will choose the itemized deduction of $32,206.50 as it is higher than the standard deduction of $27,700 Question 4 1 pts What is their taxable income and how much is their federal tax liability? Their taxable income is $44,373.50 and they owe $4,885 in federal income taxes. Their taxable income is $50,333.50 and they owe $5600 in federal income taxes. Their taxable income is $57,330.50 and they owe $6440 in federal income taxes. Their taxable income is $48,880 and they owe $5442 in federal income taxes