QUESTION ${?}^{}$

Ted and Beth are married and have $2$ children, Lauren and Nick. Beth is an eye surgeon

and earns $$600,000$ per year. Ted would like to reduce their taxable income by

transferring some certificates of deposit which generate $$5,000$ of interest per year to

daughter Lauren, who has no other income. How much of the $$5,000$ will be taxed to

Nick?

ANSWER

$$1,250$

$$0$

$$3,750$

$$5,000$

IDON'T KNOW YET