Response to the following problem:
Jane and Ed Rochester are married with a two-year-old child who lives with them and whom they support financially. In 2011, Ed and Jane realized the following items of income and expense: Ed Salary $35,000 and Jane's Salary $34,400 Municipal bond interest income 400, alimony paid $7,000 qualified mortgage interest expense $10,000. They also qualify for a $1,000 tax credit. Their employers withheld $1,800 in taxes from their paychecks in total. Finally, the 2012 standard deduction amount is $11,900 and the 2012 exemption amount is $3,800.
What is the couples gross income?
What is the couples adjusted gross income?
What is the couples taxable income.