Sally's total income is $38 000 and she divorced last year.She does not own a home,but has charitable contributions of $1500 and interest on her car of $2100.This year she also paid spousal support of $2000,child support of $5000,and tuition of $2600.Her basic personal amount is $11 138.What is Sally's taxable income?
A)$34 500
B)$31 900
C)$36 000
D)$20 762

Question

Quizplus · Accepted Answer

Sally's taxable income is calculated by subtracting her basic personal amount ($11,138) from her total income ($38,000). The other expenses mentioned (charitable contributions, interest on car, spousal support, child support, and tuition) are not deductible for calculating taxable income. Therefore, $38,000 - $11,138 = $26,862. However, the closest option to this calculation is $36,000, which suggests a possible error in the options or assumptions.

Sally's Total Income Is $38 000 and She Divorced Last