Gabriel, age 40, and Emma, age 33, are married with two dependents. They reported AGI of $110,000 for the year, including net investment income of $10,000 and gambling winnings of $2,500. They incurred the following expenses during the year, all of which resulted in itemized deductions for regular income tax purposes.

Medical expenses (before AGI floor)......................................................................... $13,000

State income taxes ...........................................................................................................2,800

Personal property tax......................................................................................................... 900

Real estate tax ...................................................................................................................9,100

Interest on personal residence .......................................................................................8,600

Interest on home equity loan (proceeds were used to buy a new fishing boat) ......1,800

Investment interest expense ...........................................................................................2,600

Charitable contribution (cash) ..........................................................................................4,200

Unreimbursed employee expenses (before 2%-of-AGI floor) ......................................3,800

a. What is Gabriel and Emma's AMT adjustment for itemized deductions? Is it positive or negative?

b. Gabriel and Emma also earned interest of $5,000 on private activity bonds that were issued in 2013. They borrowed money to buy these bonds and paid interest of $3,900 on the loan. Determine the effects of these amounts on AMTI.