Page ref i2 10 and i2 11 objective 2 110 kate is

Page Ref.: I:2-10 and I:2-11
Objective: 2
110) Kate is single and a homeowner. In 2013, she has property taxes on her home of $3,000, makes charitable
contributions of $2,000, and pays home mortgage interest of $7,000. Kate's adjusted gross income for 2013 is $77,000.
Required: Compute her taxable income for 2013.
Page Ref.: I:2-11; Example I:2-3
Objective: 2

111) In 2013, Sam is single and rents an apartment for which he pays $800 per month and makes charitable
contributions of $1,000. Sam's adjusted gross income is $47,000.
Required: Compute his taxable income. Show all calculations.
Page Ref.: I:2-11; Example I:2-4
Objective: 2
112) Eliza Smith's father, Victor, lives with Eliza who is a single taxpayer. During the year, Eliza purchased clothing
for her father costing $1,200 and provided him with a room that could have been rented for $6,000. In addition, Eliza
spent $4,000 for groceries she shared with her father. Eliza purchased a new television for $900 which she placed in
the living room for both her father and her use.
What is the amount of support provided by Eliza to her father?
Page Ref.: I:2-15; Example I:2-14
14
Objective: 2

113) The following information for 2013 relates to Emma Grace, a single taxpayer, age 18:
Salary $6,500
Interest income 1,200
Itemized deductions 500
a. Compute Emma Grace's taxable income assuming she is self-supporting.
b. Compute Emma Grace's taxable income assuming she is a dependent of her parents.
Answer:
15