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Please check to see if 3 and 4 are right and answer 5. Thanks! 3. Martha is single and a full-time employee of the ABC
Please check to see if 3 and 4 are right and answer 5. Thanks!
3. Martha is single and a full-time employee of the ABC Bank. She files a 1040 form and always itemizes her deductions rather than taking the standard deduction. Given the amount of her anticipated salary for calendar year 2019, her marginal tax rate will be 25%. Salary will be the only source of gross income for Martha in 2019. Martha wants to purchase an expensive gift for her parents. The cost of the gift is $4,320 and is, of course, considered a nondeductible personal expenditure under the federal income tax laws. How much gross salary must Martha earn in 2019 to purchase the gift? a. $5,760 b. $5,400 C. $4,320 d. $3,240 4. Jerry is single and a full-time employee of the ABC Bank. He files a 1040 form and always itemizes his deductions rather than taking the standard deduction. Given the amount of his anticipated salary for calendar year 2019, his marginal tax rate will be 25%. Salary will be the only source of gross income for Jerry in 2019. Jerry wants to make a very generous donation of $4,320 to his favorite charity. This donation will, of course, qualify as an itemized deduction for 2019. How much gross salary must Jerry earn in 2019 to make this very generous donation to his favorite charity? a. $5,760 b. $5,400 C. $4,320 d. $3,240 5. Refer to questions 3 and 4 above. Indicate whether Martha's gift to her parents and Jerry's donation to his favorite charity were paid with pre-tax or after-tax dollars: Martha's Gift to Her Parents Jerry's Donation to His Favorite Charity Paid with Pre-Tax Dollars Paid with Pre-Tax Dollars b. Paid with Pre-Tax Dollars Paid with After-Tax Dollars Paid with After-Tax Dollars Paid with Pre-Tax Dollars . Paid with After-Tax Dollars Paid with After-Tax DollarsStep by Step Solution
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