MOCR ACCT 414 - CHAPTER 6 1. Collin and Christine are married and file joint. Their dependent son, Trevor, is a full-time college student at a qualified educational institution. This year Collin and Christine borrowed $30,000 to pay for Trevor's tuition ($22,000) and room and board ($8,000). At year end Collin paid $3,200 in interest on the loan. What amounts can Collin and Christine deduct for interest and education expenses if they estimate that their AGI will be $128.000 absent any deductions for AGI? 2. Jenna (age 50) files single and reports AGI of $40,000. This year she has incurred the following medical expenses: Dentist charges $ 90 Physician's fees 2.800 Cosmetic surgery 400 Cost of eyeglasses 250 Hospital charges 1.330 Prescription drugs 240 Over-the-counter drugs 75 Medical insurance premiums 1,200 Calculate the amount of medical expenses that will be included with Jenna's other itemized deductions. 3. Chuck has AGI of $70,000 and has made the following payments State income tax withholding $ 1.900 State income tax estimated payments 850 Federal income tax withholding 7.100 Social Security tax withheld from wages 4.800 State excise tax on liquor 400 State inheritance tax 1,200 County real estate tax 790 School district tax on realty 510 Calculate the amount of taxes that Chuck can include with his itemized deductions