tax forms: Comprehensive problems

diana and ryan workman were married on January 1 of last year. Diana has an eight-year-old son,Jorge, from her previous marriage. Ryan works as a computer programmer at Datafile Inc. (DI) earnings a salary of $96,000. Diana is selfemployed and runs a day care center. The workman reported the following financial information pertaining to their activities during the current year..

a-Ryan earned a $96,000 salary for the year

b- Ryan borrowed $12,000 from DI to purchase a car. DI charged him 2 percent interest ($240) on the loan, which Ryan paid on December 31. DI would have charged Ryan $720 of interest had been calculated at the applicable federal interest rate.

c- diana received $2,000 in alimony and $4,500 in child support payments from her former husband. .They divorced in 2016.

d- Diana won a $900 cash prize at her church- sponsored Bingo game.

e-The Worrkmans received $500 of interest from corporate bonds and $250 of interest from a municipal bond. Diana owned these bonds before she married Ryan.

f- The couple bought 50 shares of ABC Inc, stock for $40 por share on July 2. The stock was worth $47 a share on December 31. THe stock paid a dividend of $1.00 per share on December1.

g- Diana's father passed away on April 14,. She inherited cash of $ 50,000 from her father and his baseball card collection, valued at $2,000. As the beneficiary of her father's life insurance policy, Diana also received $150,000.

h- THe couple spent a weekend in Atlantic City in November and came home with gross gambing winning of $1,200.

i- Ryan received $400 cash for reaching 10 years of continuos service at DI.

j- Ryan was hit and injured by a drunk driver while crossing a street at a crosswalk. He was unable to work for a month. He received $6,000 from his disability insurance. DI paid the premiums for ryan, but it reported the amount of the premiums as compensation to Ryan on his year-end W-2.

k- The drunk driver who hit Ryan in part (j) was requiredto pat his $2,000 medical costs, $1,500 for the emotional trauma he suffered from the accident, and $5,000 for punitive damages..

L- For meeting his performnce goals this year, ryan was informed on December 27 that he would receive a $5,000 year-end bomus. DI (located in Houston, Texas) mailed Ryan's bonus check from payroll processing center ( Tampa, Florida) on DEcember 28, Ryan didn't receive the check at his home until january 2.

m- Diana is a 10 percent owner of MNO Inc.. a Subchapter S Corporation. The company reported ordinary business income for the year of $92,000. Diana acquired the MNO stock two year ago.

n- Diana's day care business collected $35,000 in revenue. In addition, customer's owed her $3,000 at year-end. During the year, Diana spent $5,500 for suplies, $1,500 for uilities, $15,000 for rent, and $500 for miscellameous expenses. One customer gave her use of his vacation home for a week (worth $2,500) in exchange for Diana allowing his child to attend the day care center free of charge.Diana accounts for her business activities using the cash method of accounting.

o- Ryan's employer pays the couple's annual health insurance premiums of $5,500 for a qualified plan.

Required:

a- Assuming the Workman file a joint tax return determine theor gross incomee.