Question

Check my Requirea information The following information applies to the questions displayed below! Cecil cashed in a Series EE savings bond with a redemption value of $14,000 and an original cost of $9,800. For each of the following independent scenarios, calculate the amount of interest Cecil will include in his gross income assuming he files as a single taxpayer: (Leave no answer blank. Enter zero if applicable.) b. Assume the same facts in part (a), except Cecil plans to spend $4,200 of the proceeds to pay his son's tuition at S University, and Cecil estimates his modified adjusted gross income at $60,600, Amount of interest to be included in gross income Activate

Answer 1

Answer: page-1 * According to information - 3 Cecil cashed in a series EE Savings bond with redemption value is $14,000 =) An original cost is $9,800 200 Interest - (14,000 – 9,800) = 4,200 Interest rate = (-1,200/14,00) - 30 % Interest to be excluded from gross income = (1,200 30%) = 1,260 Interest to be included in gross income =(4,200 -1,260) - 2,940 - x -