Elmer Received the Following Distributions from Virginiana Mutual Fund for the Calendar

question 57

Multiple Choice

Elmer received the following distributions from Virginiana Mutual Fund for the calendar year 2019: $$\begin{array} { l r } \text { Ordinary dividends } & \$ 250 \\\text { Capital gain distributions } & \$ 170 \\\text { Nontaxable distributions } & \$ 80\end{array}$$ Elsie, Elmer's wife, did not own any of the Virginiana Mutual Fund shares, but she did receive $1,475 in interest on a savings account at the Moss National Bank and $175 in interest on California Municipal Bonds. Elmer and Elsie filed a joint income tax return for 2019. What amount is reportable as taxable interest income?

• A)$0
• B)$175
• C)$1,475
• D)$1,650
• E)None of the above

---

Definitions:

Increasing

A term indicating that something is growing or becoming larger in size, number, value, or quality.

Type I Error

The incorrect rejection of a true null hypothesis, also known as a "false positive".

True Null Hypothesis

The hypothesis that there is no effect or no difference, and it truly reflects the reality in the population sampled.

Rejecting

In statistics, it often refers to the act of discarding the null hypothesis based on the evidence of a test.