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George, an Unmarried Cash Basis Taxpayer, Received the Following Amounts

Question 74

Multiple Choice

George, an unmarried cash basis taxpayer, received the following amounts during 2017:  Interest on savings accounts $2,000 Interest on a State tax refund 600 Interest on City of Salem school bonds 350 Interest portion of proceeds of a 5% bank certificate of deposit  purchased on July 1, 2016, and matured on June 30, 2017 250 Dividends on USG common stock 300\begin{array} { l r } \text { Interest on savings accounts } & \$ 2,000 \\\text { Interest on a State tax refund } & 600 \\\text { Interest on City of Salem school bonds } & 350 \\\text { Interest portion of proceeds of a 5\% bank certificate of deposit } & \\\text { purchased on July 1, 2016, and matured on June 30, 2017 } & 250 \\\text { Dividends on USG common stock } & 300\end{array} ? What amount should George report as gross income from dividends and interest for 2017?


A) $2,300.
B) $2,550.
C) $3,150.
D) $3,500.
E) None of these.

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