For Each of the Following Independent Cases,indicate the Total Number

question 97

Essay

For each of the following independent cases,indicate the total number of exemptions (personal and dependents)that may be claimed by the taxpayer in 2017.
a.Cassie is a single mother providing the sole support of her three children,who all live with her.Her 16-year-old daughter,Tammy,earned $15,200 modeling during the year and her two sons,R.J.and Will,ages 10 and 8,have no income.
b.Olivia,35 years old,provided eighty percent of the support of her grandmother who lived in another state.Her grandmother's only income was from non-taxable social security of $9,500.
c.Vanessa and Matt Reardon are married and under 65 years of age.During 2017,they furnish more than half of the support of their 25-year-old son,Bill,who lives with them.Bill earns $2,000 from a part-time job,most of which he sets aside for future college expenses.Bill is not currently a student.Vanessa's father,Henry,who died on January 3,2017,at age 80,had for many years qualified as their dependent.
d.Douglas and Marjorie are husband and wife and file a joint return.Both are under 65 years of age.They provide more than half of the support of their daughter,Ellen (age 23),who is a full-time medical student.Ellen receives a $3,400 taxable scholarship covering her room and board at college.They furnish all of the support of Henry (Douglas's grandfather),who is age 85 and lives in a nursing home.They also support Meg (age 69),who is a friend of the family and lives with them.
e.Blair,who is divorced,maintains a home in which she,her twin sons,and her baby daughter live all year.The children's father,Ross,provides over half their support.No special arrangements exist between Blair and Ross.

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Definitions:

Business Risk

The exposure a company or investor has to factor(s) that will lower its profits or lead it to fail.

Business Risk

The exposure to factors that may cause a business to experience lower than expected profits or even losses, including market changes, regulatory changes, and operational failures.

Macroenconomy

The branch of economics that studies the behavior and performance of an economy as a whole, focusing on national income, unemployment, and inflation.

Donald Boudreaux

An American economist known for his work in free market economics and public choice theory, and for being a prolific writer on these subjects.