Marilyn, Age 38, Is Employed as an Architect Peter and Esther Would Qualify as Marilyn's Dependents Except That

question 29

Essay

Marilyn, age 38, is employed as an architect. For calendar year 2019, she had AGI of $204,000 and paid the following medical expenses: $\begin{array}{lr}\text { Medical insurance premiums } & \$ 7,800 \\\text { Doctor bills for Peter and Esther (Marilyn's parents) } & 7,300 \\\text { Doctor and dentist bills for Marilyn } & 11,100 \\\text { Frescription medicines for Marilyn } & 750 \\\text { Nonprescription insulin for Marilyn } & 950\end{array}$ Peter and Esther would qualify as Marilyn's dependents except that they file a joint return. Marilyn's medical insurance policy does not cover them. Marilyn filed a claim for reimbursement of $6,000 of her own expenses with her insurance company in December 2019 and received the reimbursement in January 2020. What is Marilyn's maximum allowable medical expense deduction for 2019?

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Definitions:

Classical Economists

Economists who emphasize the role of free markets and the importance of supply-side factors for economic growth and stability.

Equilibrium GDP

The level of output where the total quantity of goods and services produced equals the total quantity of goods and services demanded.

Full Employment

Full Employment is a condition where all available labor resources are being used in the most economically efficient way, with minimal unemployment.

Savings Exceeds Investment

Describes a situation in which the amount of income saved by individuals or entities surpasses the amount being invested, which can indicate caution or a lack of attractive investment opportunities.