Louis and Sandy Roman were married with two children, Eddie, age 13, and Nancy, age 20. On July 7, Year 3, Louis died.Nancy is a full-time student at the state university.The Romans own their home and live in Denver.Louis had been disabled since Year 1.Sandy is an insurance adjuster and sings in her church choir.

Sandy and Louis Roman filed a joint income tax return for Year 2.

Assume for the purposes of this TBS that Louis was still alive at the end of Year 3.For the Year 3 tax year, the Roman family had various items of income and expenditures, attached.Determine either the amount of income, or the adjustment to income, that should be included or deducted on the Romans' Form 1040 - Individual Income Tax Return, to arrive at adjusted gross income.Insert the appropriate items of income and the appropriate adjustments to income.Round to the nearest dollar.

Excerpt from page 2 of Form 1040

ABCD11. Wages, salaries, tips, etc.

22a. Tax-exempt interest

b. Taxable interest

33a. Qualified dividends

b. Ordinary dividends

44a. IRAs, pensions and annuities

b. Taxable amount

55a. Social security benefits

b. Taxable amount

66. Additional income and adjustments to income.Attach Schedule 1.

77. Adjusted gross income. Combine lines 1through 6.

0.00

Excerpt from Schedule 1 of Form 1040

AB1Additional Income21-9. Reserved

310. Taxable refunds, credits, or offsets of state and local income taxes

411. Alimony received

512. Business income or (loss)

613. Capital gain or (loss)

714. Other gains or (losses)

815. Reserved

916. Reserved

1017. Rental real estate, royalties, partnerships, S corporations, trusts, etc.

1118. Farm income or (loss)

1219. Unemployment compensation

1320. Reserved

1421. Other income

1522. Combine the amounts in the far right column.If you don't have any adjustments to income, enter here and on Form 1040, line 6.0.0016Adjustments to Income

1723. Educator expenses

1824. Certain business expenses of reservists, performing artists, and fee-basis government officials

1925. Health savings account deduction

2026. Moving expenses for members of armed forces

2127. Deductible part of self-employment tax

2228. Self-employed SEP, SIMPLE, and qualified plans

2329. Self-employed health insurance deduction

2430. Penalty on early withdrawal of savings

2531. Alimony paid

2632. IRA deduction

2733. Student loan interest deduction

2834. Reserved

2935. Reserved

3036. Add lines 23 through 35.0.003137. Subtract line 36 from line 22. Enter here and on Form 1040, line 6.0.00