Question
Given the following data, calculate the adjusted gross income (AGI) for David Brown's family. What are their total itemized deductions? How many personal exemptions do
Given the following data, calculate the adjusted gross income (AGI) for David Brown's family. What are their total itemized deductions? How many personal exemptions do they receive, and how much does that save them in taxes if each exemption is worth $3,650 and they are in the 15 % marginal tax bracket? David is married and has two dependent children. Show all work for full credit. Make sure you account for each piece of data given.
W-2 Wages $50,000 Mortgage Interest Paid 6,500 Dividends Received 500 Long-Term Capital Gains 2,000 Long-Term Capital (Loss) 500 Interest Income 50 State Tax Refund 300 Deductible IRA Contribution 5,000 Property Taxes Paid 1,200 Rental Prop. Passive Income 2,500 Charitable Contributions 5,000 Medical Expenses 4,500 Alimony Paid to Ex Wife 4,000 Unreimbursed Employee Misc. Expenses 900
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