Ridge is a generous individual. During the year, he made interest-free loans to various family members when the Federal interest rate was 3%. What are the Federal tax consequences of the following loans by Ridge? a) On June 30, 2017 Ridge loaned $12,000 to his cousin, Jim, to buy a used truck. Jim's only source of income was his wages on various construction jobs during the year.

b) On August 1,2017 Ridge loaned $8,000 to his niece, Sonja. The loan was meant to enable her to pay her college tuition. Sonja reported $1,200 interest income from CDs that her parents had given her.

c) On September 1,2017 Ridge loaned $25,000 to his brother, Al, to start a business. Al reported only $220 of dividends and interest for the year.

d) On September 30,2017 Ridge loaned $150,000 to his mother so that she could enter a nursing home. His mother's only income was $9,000 in Social Security benefits and $500 interest income received.