Q.9 James, a NYC resident, had wages of $105,000.00 in 2016 and $112,500.00 in 2017. In 2016 he had interest income from a savings account of $975.00, interest income from the City of New York Mac Bonds of $1,200.00, and dividend income of $600.00. Additionally, on October 15, 2016, James sold 1,000 shares of JP Morgan stock for $7,850. The stock had an adjusted basis of $16,500.00, which he purchased on June 15, 2015. On March 15, 2017, James sold Citibank Stock for $7,500, which had an adjusted basis of $5,200. James had no other income 2016 or 2017. What is James AGI for 2016? What is James AGI for 2017? Q.10 John, a single taxpayer, sold his 2-family home, which he owned since June 10, 2007 for $850,000. During the time John owned the home, he lived in one apartment and rented the second apartment. Both apartments were of equal size. John purchased the home for $200,000. John made no improvements to the home, but he took depreciation expense every year on the rental unit. Total depreciation allowed was $61,820; however, total allowable depreciation was $77, 275. What is John's realized gain on the sale of the home? What is John's recognized gain? Explain your