Question 5 (show your work or explain your answer as applicable) Ed and Wendy are a married couple with no children. Each earns $75,000 per year, and their combined household adjusted gross income is $150,000. Another couple, John and Kristen, also have $150,000 in combined adjusted gross income. However, Kristen earns all the income; John does not work. Each family has a tax exemption of $3,950 per person, or $7,900 total. The standard deduction is $12,400 for a married couple and $6,200 for a single taxpayer. Assume that both couples take the standard deduction. Statutory Tax Rate Schedule (2015) Rate Single Filers Married Joint Filers 10% 15% 25% 28% 33% 35% 39.6% $0-$9,225 $9,225 - $37,450 $37,450 - $90,750 $90,750 to $189,300 $189,300 to $411,500 $411,500 to $413,200 $413,200+ $0 to $18,450 $18,450 to $74,900 $74,900 to $151,200 $151,200 to $230,450 $230,450 to $411,500 $411,500 to $464,850 $464,850+ Heads of household filers $0 to $13,150 $13,150 to $50,200 $50,200 to $129,600 $129,600 to $209,850 $209,850 to $411,500 $411,500 to $439,000 $439,000+ Use the 2015 tax rate schedule above to answer the following questions. a) If Ed and Wendy were single or filed their taxes as single individuals, how much would their combined tax liability be? (5 points) b) If John and Kristen were single or filed their taxes as single individuals, how much would their combined tax liability be? (5 points) c) If Ed and Wendy file their taxes jointly as a married couple, how much is their combined tax liability? (5 points) d) If John and Kristen file their taxes jointly as a married couple, how much is their combined tax liability? (5 points) e) Does either couple benefit from filing jointly as a married couple? If yes, which one? Explain your answer. (5 points)