The information that follows applies to the current year for Revis and Patrica,a married couple.
Based on the above information,what is Revis and Patrica 's taxable income?

Question

Quizplus · Accepted Answer

To determine their taxable income, we need to first add up their income sources:

- Revis's salary: $90,000
- Patrica's salary: $60,000
- Interest income: $5,000
- Dividend income: $3,500
- Capital gains: $15,000

Total income: $173,500

Next, we subtract their deductions:

- Standard deduction: $24,800 
- State and local taxes: $10,000 
- Mortgage interest: $8,000 
- Charitable donations: $2,450

Total deductions: $45,250

Finally, we subtract their deductions from their income to get their taxable income:

$173,500 - $45,250 = $128,250

Therefore, the correct answer is C: $128,250.

The Information That Follows Applies to the Current Year for Revis