Final Exam 100% Correct Answers

Porter was unemployed for part of the year. Porter received $35,000 of wages, $4,000 from a state unemployment compensation plan, and $2,000 from his former employer's company-paid supplemental unemployment benefit plan. What is the amount of Porter's gross income? {Ans: 41,000}Anna is a 22-year-old student with earned income of $10,000 from a summer job and dividend income of $1,100. Her parents claim her as a dependent on their tax return. What is Anna's basic standard deduction amount? {Ans: 10,350}A husband and wife can file a joint return even if {Ans: The spouses have different accounting methods.}Bob sold securities in Year 1. The sales resulted in a capital loss of $7,000. He had no other capital transactions. He and his wife Gloria decide to file separate returns for Year 1. His taxable income was $26,000. What amount of capital loss can he deduct on his Year 1 return and what amount can he carry over to Year 2? {Ans: $1,500 in Year 1 and $5,500 carry over to Year 2.}Paul Crane, age 25, is single with no dependents and had an adjusted gross income of $30,000 in 2020, exclusive of $2,000 in unemployment compensation benefits received in