Classification of Deductions. J and K are both single, and each earns $30,000 of income and has $2,000 of deductible expenses for the current year. J's deductions are for AGI while K's deductions are itemized deductions. a. Given these facts, and assuming that the situation of J and K is identical in every other respect, will their tax liabilities differ? Explain. b. Same as (a) except their deductions are $7,000.