Required Information [The following informotion opplies to the questions disployed below] Diana and Ryan Workman were married on Januory 1 of last year. Ryon has an eight-year-old son, Jorge, from his previous marriage. Diona works as a computer programmer at Dotafile Incorporated (DI) eorning a salary of $99,500. Ryan is selfemployed and runs a day care center. The Workmans reported the following financial information pertaining to their activities during the current year. a. Diand earned a 599,500 salary for the year. b. Diens borrowed $12,700 from Dl to purchase o car. Dl charged her 2 percent interest (\$254) on the loen, which Diens paid on December 31. Dl would have charged Diane $790 if interest had been calculated at the applicable federal interest rate. Assume that tex avoidance was not a motive for the losn. c. Ryan received $2,350 in alimony and $5,200 in child support poyments from his former spouse. They divorced in 2016. d. Ryen won o 5970 cash prize at his church-sponsored Bingo gome. e. The Workmans received $850 of interest from corporate bonds and $600 of interest from a municipal bond. Ryan owned these bonds before he married Daina. f. The couple bought 64 shares of ABC Incorporated stock for $47 per share on July 2 . The stock wes worth S61 a share on December 31 . The stock paid a dividend of $1 per share on December 1. g. Ryon's father possed away on April 14. He inherited cash of 557,000 from his father and his boseball card collection, valued at $2,700. As the beneficiary of his father's life insurance policy, Ryon also received $157,000. h. The couple spent a weekend in Atlantic City in November and came home with gross gambling winnings of $1,900. 1. Dinn received $1,800 cosh for resching 10 years of continuous service at Dl. J. Diand was hit and injured by a drunk driver while crossing a street at a crosswalk. she was unable to work for a month. She received 57,400 from her disability insurance. Dl paid the premiums for Diand, but it reported the amount of the premiums as compensation to Diane on her year-end W-2. k. The drunk driver who hit Diens in part (]) was required to pay her $2,700 medical costs, $2,200 for the emotional troums she suffered from the sccident, and $6,400 for punitive damages. I. For meeting her performance gools this year, Dian was informed on December 27 that she would receive a $5,700 year-end bonus. DI (located in Houston, Texas) mailed Diana's bonus check from its poyroll processing center (Tempa, Florida) on December 28 . Diana didn't receive the check at home until Janusry 2. m. Ryen is a 10 percent owner of MNO Incorporated, a Subchapter S corporation. The company reported ordinary business income for the year of $106,000. Ryen acquired the MNO stock two years ago. n. Ryen's day care business collected $70,000 in revenues. In addition, customers owed him $6,500 at year.end. During the year, Ryan spent $9,000 for supplies, $5,000 for utilities, $22,000 for rent, and $850 for miscellaneous expenses. One customer gove him use of their vocation home for week (worth 56,000 ) in exchange for Ryon allowing their child to attend the day care center free of charge. Ryon accounts for his business activities using the cash method of accounting. o. Diand's employer pays the couple's annusl health insurance premiums of $9,000 for a qualified plan. 2. Complete page 1 of Form 1040 through line 9 and Schedule 1 for the Workmens (for filing MFJ). Note: Input all the values as positive numbers. Enter any non-financial Information, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given Information or Problem Statement. Do not skip rows, while entering in Deductlons section of Form 1040 PG1. Assume the dividends are qualified dividends. Nelther Ryan nor Diana wish to contribute to the Presidential Election Campaign fund or had any virtual currency transactions or Interests. Ryan's and Dians's address is 19010 N.W. 135th Street, Miami, FL 33054 Social security numbers: Ryan: 111223333 Diand: 222334444 Jorge: 333445555 1040 for a couple Married Filing Jointly with one dependent. Form 1040 Page 1. 1040PG1 Schedule 1 Form 1040 Page 1. For Dicolocure, Priveoy Aot, and Paparwork Reduotion Aot Notioo, cae coparats Instrustione. C.t. Na. 113208 Form 1040 (2021) 1040PG1 Schedule 1 THI B FORM I8 A IIMLLATION OF AN OFFICIAL U. B. TAX FORM. IT I8 NOT THE OFFICIAL FORM IT SELF. DO NOT U3E THIB FORM FOR TAX FILINO I OF FOR ANY PURFO BE OTHER THAN EDUCATIONAL. Q 2022 MoQraw-HIIII Eduoation. Required Information [The following informotion opplies to the questions disployed below] Diana and Ryan Workman were married on Januory 1 of last year. Ryon has an eight-year-old son, Jorge, from his previous marriage. Diona works as a computer programmer at Dotafile Incorporated (DI) eorning a salary of $99,500. Ryan is selfemployed and runs a day care center. The Workmans reported the following financial information pertaining to their activities during the current year. a. Diand earned a 599,500 salary for the year. b. Diens borrowed $12,700 from Dl to purchase o car. Dl charged her 2 percent interest (\$254) on the loen, which Diens paid on December 31. Dl would have charged Diane $790 if interest had been calculated at the applicable federal interest rate. Assume that tex avoidance was not a motive for the losn. c. Ryan received $2,350 in alimony and $5,200 in child support poyments from his former spouse. They divorced in 2016. d. Ryen won o 5970 cash prize at his church-sponsored Bingo gome. e. The Workmans received $850 of interest from corporate bonds and $600 of interest from a municipal bond. Ryan owned these bonds before he married Daina. f. The couple bought 64 shares of ABC Incorporated stock for $47 per share on July 2 . The stock wes worth S61 a share on December 31 . The stock paid a dividend of $1 per share on December 1. g. Ryon's father possed away on April 14. He inherited cash of 557,000 from his father and his boseball card collection, valued at $2,700. As the beneficiary of his father's life insurance policy, Ryon also received $157,000. h. The couple spent a weekend in Atlantic City in November and came home with gross gambling winnings of $1,900. 1. Dinn received $1,800 cosh for resching 10 years of continuous service at Dl. J. Diand was hit and injured by a drunk driver while crossing a street at a crosswalk. she was unable to work for a month. She received 57,400 from her disability insurance. Dl paid the premiums for Diand, but it reported the amount of the premiums as compensation to Diane on her year-end W-2. k. The drunk driver who hit Diens in part (]) was required to pay her $2,700 medical costs, $2,200 for the emotional troums she suffered from the sccident, and $6,400 for punitive damages. I. For meeting her performance gools this year, Dian was informed on December 27 that she would receive a $5,700 year-end bonus. DI (located in Houston, Texas) mailed Diana's bonus check from its poyroll processing center (Tempa, Florida) on December 28 . Diana didn't receive the check at home until Janusry 2. m. Ryen is a 10 percent owner of MNO Incorporated, a Subchapter S corporation. The company reported ordinary business income for the year of $106,000. Ryen acquired the MNO stock two years ago. n. Ryen's day care business collected $70,000 in revenues. In addition, customers owed him $6,500 at year.end. During the year, Ryan spent $9,000 for supplies, $5,000 for utilities, $22,000 for rent, and $850 for miscellaneous expenses. One customer gove him use of their vocation home for week (worth 56,000 ) in exchange for Ryon allowing their child to attend the day care center free of charge. Ryon accounts for his business activities using the cash method of accounting. o. Diand's employer pays the couple's annusl health insurance premiums of $9,000 for a qualified plan. 2. Complete page 1 of Form 1040 through line 9 and Schedule 1 for the Workmens (for filing MFJ). Note: Input all the values as positive numbers. Enter any non-financial Information, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given Information or Problem Statement. Do not skip rows, while entering in Deductlons section of Form 1040 PG1. Assume the dividends are qualified dividends. Nelther Ryan nor Diana wish to contribute to the Presidential Election Campaign fund or had any virtual currency transactions or Interests. Ryan's and Dians's address is 19010 N.W. 135th Street, Miami, FL 33054 Social security numbers: Ryan: 111223333 Diand: 222334444 Jorge: 333445555 1040 for a couple Married Filing Jointly with one dependent. Form 1040 Page 1. 1040PG1 Schedule 1 Form 1040 Page 1. For Dicolocure, Priveoy Aot, and Paparwork Reduotion Aot Notioo, cae coparats Instrustione. C.t. Na. 113208 Form 1040 (2021) 1040PG1 Schedule 1 THI B FORM I8 A IIMLLATION OF AN OFFICIAL U. B. TAX FORM. IT I8 NOT THE OFFICIAL FORM IT SELF. DO NOT U3E THIB FORM FOR TAX FILINO I OF FOR ANY PURFO BE OTHER THAN EDUCATIONAL. Q 2022 MoQraw-HIIII Eduoation