Lucky Louie earned $100,000 salary this year,had total itemized deductions of $10,000,one personal exemption equal to $4,000 and interest income of $3,000.Louie,was not so lucky in the stock market however and had capital losses of $8,000. What was Lucky Louie's taxable income?
A) $86,000
B) $81,000
C) $89,000
D) $90,000

Question

Quizplus · Accepted Answer

Taxable income = Salary + Interest income - Itemized deductions - Personal exemption - Capital losses= $100,000 + $3,000 - $10,000 - $4,000 - $8,000= $86,000

Lucky Louie Earned $100,000 Salary This Year,had Total Itemized Deductions