During the Current Year, Donna, a Single Taxpayer, Reports the Following

question 98

Essay

During the current year, Donna, a single taxpayer, reports the following items income of income and expenses:
Income:
$\begin{array}{ll}\text { Salary } & \$ 86,000 \\\text { Municipal bond interest } & 1,300 \\\text { Bank account interest } & 2,300 \\\text { Alimony received } & 24,000 \\\text { Capital gain on an asset held less than one year } & 3,000 \\\text { Rental income from residential rental house } & 12,500\end{array}$ Expenses/losses:
$\begin{array}{ll}\text {Interest on principal residence}&8,000\\\text {Real estate taxes on principal residence}&1,000\\\text {Capital loss on an asset held less than one year}&7,000\\\text { Expenses related to rental property }\\\text { Mortgage interest } & 6,000 \\\text { Repairs } & 2,400 \\\text { Taxes } & 700 \\\text { Depreciation } & 1,200\end{array}$
Compute Donna's taxable income. (Show all calculations in good form.)

---

Definitions:

Direct Labor Costs

The total expenditure on labor directly involved in the manufacturing process of goods or services.

Total Needs

The comprehensive requirements or demands of a process, project, or organization.

Units Produced

The total number of completed units generated by a manufacturing or production process in a given period.

July

The seventh month of the Gregorian calendar year.