Frank and Marion,husband and Wife,file Separate Returns

question 44

Multiple Choice

Frank and Marion,husband and wife,file separate returns.Frank and Marion live in a common law state.Frank's salary is $42,000 and Marion's salary is $46,000.Marion receives dividend income of $4,000 from stock inherited from her parents.Frank receives interest income of $1,000 from bonds purchased with his salary after marriage.Frank and Marion receive $3,200 dividend income from stock they purchased jointly.Marion's income would be

• A)$50,000.
• B)$50,100.
• C)$51,100.
• D)$51,600.

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Definitions:

Savings And Investment

The act of setting aside income for future use and the use of those savings for new capital expenditures or financial products.

Aggregate Demand Curve

A graphical representation showing the relationship between the overall price level and the total demand for goods and services in an economy.

Aggregate Supply Curve

A graph that shows the relationship between the overall price level in the economy and the total output produced by firms, holding all else constant.

Price Level

Price Level is a measure of the average prices of goods and services in an economy, indicating the purchasing power of the currency and cost of living.