Computing the refund amount


Response to the following problem:

During 2012 Gary earned $57000 as an executive. Single, supported half sister, who lives in a nursing home. Gary received the following interests: $400 on City of LA Bonds, $200 on a money market, $2100 on a loan made to his brother.

Gary spent one week serving on Jury Duty and received $50. His prior year refund was $1200 for federal and $140 for state. Itemized deductions last year of $8000, $1000 of which was state income taxes. Received qualifying dividends $1000 from Ace Co, and $1400 from Tray Co. Itemized deductions this year, $9000. Withholding tax $8000. Compute Garys refund for 2012.

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Accounting Standards: Computing the refund amount
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