LO.3, 4 For tax year 2010, determine the number of personal and dependency exemptions in each of the following independent situations:

a. Leo and Amanda (ages 48 and 46) are husband and wife and furnish more than 50% of the support of their two children, Elton (age 18) and Trista (age 24). During the year, Elton earns $4,500 providing transportation for elderly persons with disabilities, and Trista receives a $5,000 scholarship for tuition at the law school she attends.

b. Audry (age 65) is divorced and lives alone. She maintains another household in which her ex-husband, Clint, and his mother, Olive, live and furnishes more than 50% of their support. Olive is age 82 and blind.

c. Crystal, age 45, furnishes more than 50% of the support of her married son, Andy

(age 18), and his wife, Paige (age 19), who live with her. During the year, Andy earned $8,000 from a part-time job. All parties live in Maryland (a common law state).

d. Assume the same facts as in (c), except that all parties live in New Mexico (a community property state).

ETHICS AND EQUITY