Tia is married and is employed by Carrera Auto Parts. In 2019, Carrera established high-deductible health insurance for all its employees. The plan has a $2,700 deductible for married taxpayers. Carrera also contributes 5% of each employee's salary to a Health Savings Account. Tia's salary is $30,000 in 2019 and $32,000 in 2020. Tia makes the maximum allowable contribution to her HSA in 2019 and 2020. She received $600 from the HSA for her 2019 medical expenses. In 2020, she spends $1,400 on medical expenses from her HSA. The MSA earns $28 in 2019 and $46 in 2020.

Round intermediate computations and final tax liability to the nearest dollar.

a.What is the effect of the HSA transactions on Tia's adjusted gross income?

The maximum aggregate contribution to an HSA for a family in 2019 is $. The earnings of an HSA as well as medical reimbursements areexcludable

. Based on Carrera's contribution, in 2019, Tiacan deduct

for AGI $.

b.What is the balance in Tia's HSA account at the end of 2020?

Tia has $in her HSA account at the end of 2020.