Questions from Federal Taxation

Q: Hongtao is single and has a gross income of $89,

Hongtao is single and has a gross income of $89,000. His allowable deductions for adjusted gross income are $4,200 and his itemized deductions are $12,900. a. What is Hongtao’s taxable income and tax...

Q: Arthur and Cora are married and have 2 dependent children. They

Arthur and Cora are married and have 2 dependent children. They have a gross income of $95,000. Their allowable deductions for adjusted gross income total $4,000, and they have total allowable itemi...

Q: Arlene is a lawyer. She begins the current year with $

Arlene is a lawyer. She begins the current year with $12,000 in accounts receivable from customers. During the year, she bills customers $210,000 in fees and receives $180,000 in payments on account...

Q: Reg and Rhonda are married and have 2 children, ages 5

Reg and Rhonda are married and have 2 children, ages 5 and 3. Rhonda has not worked outside the home since the birth of their first child. Now that the children are older, she would like to return t...

Q: Susan is single with a gross income of $120,000

Susan is single with a gross income of $120,000 and a taxable income of $98,000. In calculating taxable income, she properly excluded $10,000 of tax-exempt interest income. Using the tax rate schedu...

Q: Beverly and Charlie are married and have one child, Carla,

Beverly and Charlie are married and have one child, Carla, who is 8 years old. With all the changes in the tax law concerning higher education expenses, Beverly and Charlie realize they need to plan...

Q: Lauren owns stock for which she paid $70,000 several

Lauren owns stock for which she paid $70,000 several years ago. She is considering donating the stock to the United Way. The fair market value of the stock is $80,000. Her adjusted gross income is...

Q: Terry purchased stock in Yippee Corporation for $10,000 in

Terry purchased stock in Yippee Corporation for $10,000 in May 1983. He bought stock in Zapper Corporation for $20,000 in June 1986. The Yippee Corporation stock is currently worth $90,000, and the...

Q: Monica is planning to start her own accounting, tax, and

Monica is planning to start her own accounting, tax, and financial planning business. Her uncle Gus has given her file cabinets, a desk, computer equipment, and bookcases that were in his den until h...

Q: What tax problems does a taxpayer encounter when purchasing more than one

What tax problems does a taxpayer encounter when purchasing more than one asset for a single price? Explain.