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Diana and Ryan Workman were married on January 1 of last year. Ryan has an eight-year-oid son, Jorge, from his previous marriage. Diana works as

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Diana and Ryan Workman were married on January 1 of last year. Ryan has an eight-year-oid son, Jorge, from his previous marriage. Diana works as a computer programmer at Datafile incorporated (DI) earning a salary of $97,500. Ryan is selfemployed and runs a day care center. The Workmans reported the following financial information pertaining to their activitses during the current year a. Diana eamed a $97,500 salary for the year b. Diana borrowed $12,300 from DI to purchase a car. Di charged her 2 percent interest ($246 ) on the loan, which Diana paid on December 31. DI would have charged Diana $750 if interest had been calculated at the applicable federal interest rate. Assume that tax avoidance was not a motive for the loan. c. Ryan received $2,150 in alimony and $4,800 in child support payments from his former spouse. They divorced in 2016. d. Ryan won a $930 cash prize at his church-sponsored Bingo game. e. The Workmans received $650 of interest from corporate bonds and $400 of interest from a municipal bond. Ryan owned these bonds before he married Daina. 1. The couple bought 56 shares of ABC incorporated stock for $43 per share on July 2 . The stock was worth $53 a share on December 31. The stock paid a dividend of $1 per share on December 1 . 9. Ryan's father passed away on April 14. He inherited cash of $53,000 from his father and his baseball card collection. valued at $2,300. As the beneficiary of his father's life insurance policy. Ryan also received $153,000. h. The couple spent a weekend in Atiantic City in November and came home with gross gambling winnings of $1,500. i. Diana recelved $1,000 cash for reaching 10 years of continuous service at DI. J. Diana was hit and injred by a drunk driver while crossing a street at a crosswalk she was unable to work for a month. She received $6,600 from her disability insurance. DI paid the premiums for Diana, but it reported the amount of the premiums as compensation to Diana on her year-end W2 k. The drunk driver who hit Diana in part (j) was required to pay her $2,300 medical costs, $1,800 for the emotional trauma she suffered from the accident, and $5,600 for punitive damages

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