Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Mike and Julie Bedard are a working couple. They will fle a joint income tax return. This year they have the following taxable income: 1.

image text in transcribed
image text in transcribed
Mike and Julie Bedard are a working couple. They will fle a joint income tax return. This year they have the following taxable income: 1. $121,000 from salary and wages (ordinary income). 2. $5,000 in interest income 3. $3,000 in dividend income 4. $2,000 in profit from sale of a stock they purchased two years ago 5. $1,000 in profit from a stock they purchased this year and sold this year Use the federal income tax rates given in Table 1.2. M. to work this problem a. How much wil Mike and Julle pay in federal income taxes on 2 above? b. How much will Mike and Julo pay in federal income taxes on 3 above? (Note: Remember that dividend income is based differently than ordinary income) c. How much wil Mike and Julio pay in federal income taxes on 4 above? d. How much will Mike and Julio pay in federal income taxes on 5 above? a. The amount Mike and Julie will pay in federal income taxes on 2, their interest income, ins). (Round to the nearest dollar) b. The amount Mike and Julle wil pay in federal income taxes on 3, their dividend income, is $(Round to the nearest dolar) (Note: Remember that dividend income in tuwd differently than ordinary income c. The amount Mike and Julie will pay in federal income taxes on 4, the profit from the sale of stock that they purchased two years ago, is $. (Round to the nearest dollar) d. The amount Mike and Julie wil pay in federal income taxes on 5, the profit on the sale of stock they purchased and sold this year, in Round to the nearest dollar) year. proble0 Data Table ove? ove? ove? Dove? (Click the icon here in order to copy the contents of the data table below into a spreadsheet.) their int TABLE 1.2: Tax Rates and Income Brackets for Joint Returns (2018) their div Taxable income Tax Rates Joint Returns the prof 10% $0 to $19.750 12% $19,751 to $80,250 22% $80,251 to $171,050 24% $171,051 to $326,600 32% $326,601 to $414,700 35% $414,701 to $622,050 37% Over $622,050 is taxe llar.) 5. the prop Print Done

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Auditing And Assurance Services

Authors: David Ricchiute

5th Edition

0538869526, 978-0538869522

More Books

Students also viewed these Accounting questions

Question

=+successful beginning to the new venture.

Answered: 1 week ago

Question

a. Did you express your anger verbally? Physically?

Answered: 1 week ago