Rich and Shauna Nielson file a joint tax return, and they itemize deductions.

Assume their marginal tax rate on ordinary income is 25 percent. The Nielsons incur $2,000 in miscellaneous itemized deductions, excluding investment expenses.

They also incur $1,000 in noninterest investment expenses during the year. What tax savings do they receive from the investment expenses under the following assumptions:

a) Their AGI is $90,000.

b) Their AGI is $130,000.