Sammy,a Calendar Year Cash Basis Taxpayer Who Is Age 66,has

question 16

Multiple Choice

Sammy,a calendar year cash basis taxpayer who is age 66,has the following transactions:
$\begin{array}{lr}\text { Salary from job } & \$ 90,000 \\\text { Alimony received from ex-wife } & 10,000 \\\text { Medical expenses } & 8,000 \\\text { Based on this information Sammy }\end{array}$

• A)\(\text { AGI of } \$ 90,000\)
• B)\(\text { AGI of } \mathbf { \$ 9 5 , 0 0 0 }\)
• C)\(\text { AGI of \$99,500 }\)
• D)\(\text { Deduction for medical exaenses of } \$ 0 \text {. }\)
• E)\(\text { None of these }\)

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Definitions:

Denseness

A measure of the compactness or crowding of objects within a given area or volume.

Slope

The measure of the steepness or inclination of a line, often describing the rate of change between two variables.

Simple Linear Regression

A statistical method that allows us to summarize and study relationships between two continuous (quantitative) variables.

Standard Error

A measure of the dispersion or variability of a sampling distribution.