Compute: 1) Adjusted Gross Income, 2) Taxable Income, 3) Tax Owed or Refunded?

Mark and Michelle are married, file a joint return and have two dependent children. During 2016, they report following iteams: Mark's Salary: $83,000 Michelle's Salary: $120,000 Interest Earned on Municipal Bonds: $2,000 Net long term capital loss: $4,000 Net short term capital gain: $8,000 Capital loss carryover from prior year: $11,000 IRA contribution: $10,000 Itemized deductions: $10,500