Calculate the taxpayers gross income using the following information: Your cousin, Cheryl, who is 55 years old, is married to James, who is 66 years old. James lost his job 3 months ago. They have asked you for help in preparing their tax return and provided you with the following information:

Tax Information Salary (Cheryl75,000, James70,000) $145,000

Unemployment compensation received 3,600

Interest in AT&T Bonds 800

Interest in City of New Orleans Bonds 1,300

Interest on a bank savings account 600

Mau, Inc. (qualified dividend) 100

Long-term capital gain 8,000

Long-term capital loss (3,000)

Short-term capital gain 5,000

Short-term capital loss (5,400)

James' slot machine winnings while in Vegas 300

Contribution to flexible benefit plan by Cheryl 500

Contribution by Cheryl to her employer's pension plan 1,000.