Brad,who Would Otherwise Qualify as Faye's Dependent,had Gross Income of $9,000

question 30

Multiple Choice

Brad,who would otherwise qualify as Faye's dependent,had gross income of $9,000 during the year.Faye,who had AGI of $120,000,paid the following medical expenses in 2015: Cataract operation for Brad $ 5,400 Brad's prescribed contact lenses 1,800 Faye's doctor and dentist bills 12,600 Prescribed drugs for Faye 2,550 Total $22,350 ​ Assuming Faye is age 45,she has a medical expense deduction of:

• A)$3,150
• B)$4,950
• C)$10,350
• D)$13,350
• E)None of the above

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Definitions:

Raw Materials

Basic materials used in the production process that are transformed into finished goods.

Storeroom

A room or space where supplies, materials, or equipment are kept for future use.

Credit

An accounting entry that either increases a liability or equity account, or decreases an asset or expense account. It is positioned on the right side of an accounting ledger.

Predetermined Overhead Rate

A rate calculated before a period begins, used to apply manufacturing overhead costs to products based on a relevant activity, such as machine hours or labor hours.