Business College

A man earned wages of $48,900, received $2600 in interest from a savings account, and contributed $3500 to a
tax-deferred retirement plan. He was entitled to a personal exemption of $4050 and had deductions totaling $7100.
Find his gross income, adjusted gross income, and taxable income.

Answers

Answer 1

Adjusted gross income is $48000, gross income is $51500, and taxable income is $36,850.

How is gross revenue defined?

Your gross income includes all of your earnings, including salary, bonuses, capital gains, corporate revenue, retirement benefits, and other types of income. For things like tuition fees, student loan interest, alimony payments, or contributions to retirement funds, adjustments to income may be made.

Income paid to man

Wages = $48,900

Savings Interest = $2600

Deductions

Personal Exemption = $4050

Standard Deduction = $7100

Tax Deferred Contribution = $ 3500

Gross Income = Income paid to man = 48,900 + 2,600 = $ 51,500

Adjusted Gross Income = Income - Tax Def Contribution = 51,500 - 3,500 = $ 48,000

Taxable Income = AGI - Deductions - State Taxes = 48,000 - 11,150 - 0 = $36,850

What distinguishes taxable income from adjusted gross income?

Examples of sources that go into making up your gross income are wages, tips, interest, dividends, rent, and pension income. Your AGI less the standard deduction, the sum of your itemized deductions, and, if applicable, the qualifying business income deduction, will give you your taxable income.

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Related Questions

Consider two countries: Country A can produce six automobiles or twelve
movies with the same amount of resources. Country B can produce five
automobiles or eight movies with the same amount of resources. Using
Ricardo’s Theory of Comparative Advantage, determine which country will
produce automobiles, which will produce movies, and the range of relative
prices for these products within which these countries trade.

Answers

Because the opportunity cost of creating a car in Country B is cheaper than the potential cost of generating movies in Country A, Country A would make movies while Country B would produce autos.

What is the justification for the above?

According to the idea of comparative advantage, countries should manufacture and trade only goods in which they have a comparative advantage, i.e. commodities in which they can specialize.

To determine a country's comparative advantage, first compute the opportunity cost of making movies and vehicles in each.

Country A:

The Opportunity cost of producing 1 automobile = 2 moviesOpportunity cost of producing 1 movie = 1/2 automobile

Country B:

Opportunity cost of producing 1 automobile = 8/5 moviesOpportunity cost of producing 1 movie= 5/8 automobiles.

Thus, it is right to state that because the opportunity cost of creating a car in Country B is cheaper than the potential cost of generating movies in Country A, Country A would make movies while Country B would produce autos.

What is Richard's Theory of Comparative Advantage?

According to Ricardo's widely regarded comparative advantage theory, states can obtain an international trade advantage by focusing on manufacturing items with the lowest opportunity costs when compared to other nations.

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Can someone please tell me which ones are hard or soft skills?
Creativity
Computer Programing
Graphic Design
Civil Engineering
Leadership
Communication
Flexibility
Video editing
Server Maintenance
Time Management

Answers

Answer: tell me

Explanation: when you find out let me

What is the purpose of a Summons?
A. A Summons tells the defendant to appear in court.
B. A Summons is a complaint against a party.
OC. A Summons is a reply to a Complaint.
D. A Summons is a pre-trial form of discovery.

Answers

The answer should be D

Answer:

A. A Summon tells the defendant to appear in court

Explanation:

Which of the following statements accurately describes the Morph transition?
O It can only affect the size and shape of an object.
It can only change one attribute of an object.
It can be used to merge shapes, text, and WordArt
It requires just one slide..​

Answers

Answer:

I think it is, It requires just one Slide to the next 100%

Explanation:

The Morph transition means that it  allows you to animate smooth movement from one slide to the next.

This is right

Answer:

B, C, D

Explanation: right on edge22

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