Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Please answer step by step the d question. Thank you! Diego, age 28, married Dolores, age 27, in 2020. Their salaries for the year amounted

image text in transcribedimage text in transcribed

Please answer step by step the d question. Thank you!

Diego, age 28, married Dolores, age 27, in 2020. Their salaries for the year amounted to $101,900 and they had interest income of $1,750. Diego and Dolores' deductions for adjusted gross income amounted to $3,625; their itemized deductions were $8,925, and they have no dependents. Table for the standard deduction Filing Status Standard Deduction Single $12,400 Married, filing jointly 24,800 Married, filing separately 12,400 Head of household 18,650 Qualifying widow(er) 24,800 Click here to access the tax tables. a. What is the amount of their adjusted gross income? $ 100,025 b. In order to minimize taxable income, Diego and Dolores will take the standard deduction in the amount of 24,800 Feedback c. What is the amount of their taxable income? 75,225 Feedback d. What is their tax liability for 2020? 13,998 X

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

Cima Official Exam Practice Kit Financial Accounting And Tax Principles 2008 Edition

Authors: Mike Rogers, John Dunn

4th Edition

0750686901, 978-0750686907

More Books

Students also viewed these Accounting questions

Question

9.6 Tests of the Variance of a Normal Distribution

Answered: 1 week ago

Question

2. What type of team would you recommend?

Answered: 1 week ago

Question

What was the role of the team leader? How was he or she selected?

Answered: 1 week ago

Question

How are members held accountable for serving in the assigned roles?

Answered: 1 week ago