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Through November 2020, Carli, a single individual, has received gross income of $77,500. For December, Carli is considering whether to accept one more work engagement

Through November 2020, Carli, a single individual, has received gross income of $77,500. For December, Carli is considering whether to accept one more work engagement for the year. Engagement 1 will generate $7,490 of revenue at a cost to Carli of $4,050, which is deductible for AGI. In contrast, engagement 2 will generate $8,750 of qualified business income (QBI), which is eligible for the 20 percent QBI deduction. If Carli accepts Engagement 2, how much additional taxable income will she realize? Question options: $1,810

$3,560

$5,310

$0

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