For questions 6 through 8, consider the following scenario. You may assume the standard deduction is $13,850 for single individuals and $27,700 for married couples filing jointly. The 2023 personal exemption amount is $4,700. In 2023, Steve and Moira are married and they have two dependent daughters named Jennifer (3 years old) and Phoebe (who was born on December 31, 2023 at 11:59pm) who live with them. The children qualify Steve and Moira for the Child Tax Credit (a refundable credit) of $2,000 each. During the year, Moira earned 115,000 in salary as a controller for the city of Redmond, WA and had $20,500 withheld from her pay for federal income taxes. In addition to Moira's income, Steve earned $104,000 as a software engineer at Microsoft. Microsoft withheld federal income taxes in the amount of $17,000 from his paychecks. As a family, they paid $23,000 in costs that are deductible as for-AGI deductions. Steve and Moira also paid $25,500 in total mortgage interest and property taxes (both are itemized deductions) for the year. Steve and Moira will file a joint tax return. Assume that Steve and Moira pay tax at a flat rate of 25%. 6. Adjusted Gross Income 7