Tia is married and is employed by Carrera Auto Parts. In 2020, Carrera established high-deductible health insurance for all its employees. The plan has a $2,800 deductible for married taxpayers. Carrera also contributes 5% of each employee's salary to a Health Savings Account. Tia's salary is $34,000 in 2020 and $36,000 in 2021. Tia makes the maximum allowable contribution to her HSA in 2020 and 2021. She received $700 from the HSA for her 2020 medical expenses. In 2021, she spends $1,000 on medical expenses from her HSA. The MSA earns $24 in 2020 and $42 in 2021. Round intermediate computations and final tax liability to the nearest dollar. Assume the max HSA contribution is the same for 2020 and 2021. 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 2020 is $ 7,100 The earnings of an HSA as well as medical reimbursements are excludable Based on Carrera's contribution, in 2020, Tia can deduct for AGI $ 5,400 b. What is the balance in Tia's HSA account at the end of 2021? Tia has $ 0 in her HSA account at the end of 2021. Joan is a single individual who works for Big Petroleum, Inc. During all of 2020, she is stationed in West Africa. She pays West African taxes of $20,000 on her Big Petroleum salary of $92,000. Her taxable income without considering her salary from Big Petroleum is $36,000. Refer to the Tax Rate Schedule table to answer the following questions. Do Not round intermediate computations. Enter final tax liability to two decimal places. x less the tax on her foreign-earned income of 1. Under the foreign-income exclusion option, Joan's total tax is $ X , resulting in tax of $ X. 2. Under the foreign tax credit paid option, Joan's tax is $ X , less the credit for West African taxes paid, resulting in a net tax of $ X. Joan should elect the foreign tax credit paid option