Mr$.$ and Mrs$.$ Lay's taxable income is $$779,000,$ which includes a $$22,030$ dividend on their investment in Rexford Mual

Fund. Mr$.$ and Mrs$.$ Lay's marginal rate on ordinary income is $37$ percent, and their entire Rexford dividend is subject to the

Medicare contribution tax. Use Individual tax rate schedules and Tax rates for capital gains and qualified dividends.

Required:

a$.$ Compute the Lays' total tax on this dividend if their Form $1099$ from Rexford reported that the entire $$22,030$ was an

ordinary dividend.

b$.$ Compute the Lays' total tax on this dividend if their Form $1099$ from Rexford reported that $$17,540$ was an ordinary

dividend and $$4,490$ was a capital gain distribution.

c$.$ Compute the Lays' total tax on this dividend if their Form $1099$ from Rexford reported that $$6,920$ was an ordinary

dividend, $$10,620$ was a qualified dividend distribution, and $$4,490$ was a capital gain distribution.

Complete this question by entering your answers in the tabs below.

Required $A$

Compute the Lays' total tax on this dividend if their Form $1099$ from Rexford reported that the entire $$22,030$ was an ordinary

dividend.

Note: Round your intermediate calculations and final answers to the nearest whole dollar amount.