Maya Expects to Report About $2 Million of AGI and $1.7

question 12

Multiple Choice

Maya expects to report about $2 million of AGI and $1.7 million of taxable income.Her AGI is composed of $1.25 million of salary,and the balance is investment income.Maya is thinking about selling some stock before year-end.She purchased the stock three years ago and expects to recognize a $500,000 gain.How much federal tax will she pay in total on the stock gain?

• A)$119,000
• B)$100,000
• C)$75,000
• D)$198,000

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Definitions:

Corruption

Dishonest or fraudulent conduct by those in power, typically involving bribery or the misappropriation of resources.

English Colonists

Early settlers from England who established colonies in various parts of the world, including North America, during the 16th to 18th centuries.

Indians

Indigenous peoples of the Americas, often referred to in a United States context but broadly representing diverse cultures and societies throughout North and South America.

Africans

The diverse peoples and cultures native to the African continent, known for their rich history, varied traditions, and contributions to global society.