!Required informationProblem 6-38 (LO 6-2) (Algo)[The following information applies to the questions displayed below.]Simpson, age 45, is a single individual who is employed full time by Duff Corporation. This year Simpson reports AGI of$52,000 and has incurred the following medical expenses:Dentist chargesPhysician chargesOptical charges$ 1,7402,190515Cost of eyeglasses495Hospital charges3,600Prescription drugs285Over-the-counter drugs860Medical insurance premiums (not through an exchange)1,220Problem 6-38 Part-a (Algo)a. Calculate the amount of medical expenses that will be included with Simpson's itemized deductions after any applicable limitations.Medical expenses

Itemized deduction :An itemized deduction is an expense that can be subtracted from adjusted gross…

Answered: Simpson, age 45, is a single individual…

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

See similar textbooks

Similar questions

Oscar Wang was seriously injured in a snowboarding accident that broke both his legs and an arm. His medical expenses included five days of hospitalization at $900 a day, $9,400 in surgical fees, $6,800 in physician's fees (including time in the hospital and six follow-up office visits), $460 in prescription medications, and $2,100 for physical therapy treatments. All of these charges fall within customary and reasonable payment amounts. If Oscar had an indemnity plan that pays 90 percent of his charges with a $1,000 deductible and a $5,000 stop-loss provision, how much would he have to pay out of pocket? Round the answer to the nearest dollar. $ What would Oscar's out-of-pocket expenses be if he belonged to an HMO with a $40 co-pay for office visits? Assume there are no other out-of-pocket costs. Round the answer to the nearest dollar. $ Monthly premiums are $320 for the indemnity plan and $455 for the HMO. If he has no other medical expenses this year, which plan provides…
I Need Explation solution and step by step solution....
Simpson, age 45, is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $61,600 and has incurred the following medical expenses: Dentist charges $ 1,560 Physician charges 1,980 Optical charges 815 Cost of eyeglasses 430 Hospital charges 4,200 Prescription drugs 610 Over-the-counter drugs 720 Medical insurance premiums (not through an exchange) 985 a. Calculate the amount of medical expenses that will be included with Simpson's itemized deductions after any applicable limitations. b. Suppose that Simpson was reimbursed for $250 of the physician's charges and $1,200 for the hospital costs. Calculate the amount of medical expenses that will be included with Simpson's itemized deductions after any applicable limitations.
which of the following is not an example of a nontaxable fringe benefit? Emploven provided parkins of $120 per month. Dualica emploree discounts Group-term life insurance policy providing $100,000 of coverage Monthly employer provided transit benefit of $100.
Information provided for Alexis • Alexis has been certified as impaired by a medical doctor and requires indefinite care from Johnny and Moira She received $5,000 from social assistance • She has a part time job and made $6,000. El of $95, CPP of $270, enhanced CPP of $30 and federal income taxes of $900 were deducted from her pay • • She took a couple courses at Brock University on a part time basis and Moira and Johnny paid the tuition fees which totalled $2,000 • She incurred $7,500 in medical expenses for physiotherapy and registered massage therapy REQUIRED: Calculate Alexis's federal and provincial income tax owing
Wanda gets her health insurance covered in an employee benefits package. Her employer pays 45% of her annual premium for basic health insurance, and 35% for dental and vision insurance. Iif the health insurance premium is $11.540, and the vision and dental are together $1.230 annually. What is the total amount Wanda pays for insurance each year? Select one O a $8,362 Ob. 57,146.50 c. $8.300,50 d. $7,200
Dave Collins and Christie Collins have two children, Ben, age 14, and Cody, age 20. The medical expenses and net income for each member of the family for 2022 is as follows: Medical expenses Net income Aras $ 2,000 $100,000 Kelly 3,000 40,000 Ben 600 500 Cody 12,000 9,000 All of the medical expenses were paid by Aras in the 12-month period ending December 31. Determine the maximum medical expense credit for 2022.
Right answer
Aaron, age 55, has an adjusted gross income in 2014 of $30,000. His expenses are as follows: Non-prescription medicine $100 Prescription medicine $500 Doctor visits $500 Weekly meal preparation for a diet plan $2,000 Removal of a benign facial mole $400 Contact lenses $500 Eyeglasses $200 Dental services $300 What is Aaron's itemized deduction for medical expenses? a. $2,000 b. $4,500 c. $1,500 d. $0 During 2015, John, a self-employed individual, paid the following amounts: Real estate tax on Michigan residence $3,800 State income tax 1,800 Real estate taxes on land in Puerto Rico (held as an investment) 1,100 Gift tax paid on gift to daughter 1,200 State sales taxes 1,750 State occupational license fee 300 Property tax on value of his automobile (used 100% for business) 500 What is the maximum amount John can claim as taxes in itemizing deductions from AGI? a. $6,650 b. $7,850 c. $6,700 d. $8,625
A patient's total surgery charges are $1,278. The patient must pay the annual deductible of $1,000, and the policy states a 80-20 coinsurance. What does the patient owe?
Hb5.
Ari Friedman is an employee at Ruby Investments, with an annual salary of $92,500, paid biweekly. Ari has the following fringe and voluntary benefits. • Medical insurance: $400 per month . 401(k): 3 percent of gross pay • Flexible spending arrangement $2,550 annually . Charitable contributions: $65 per pay period Required: What is the total amount Ari contributes to fringe benefits and voluntary deductions annually? Medical insurance 401(k) Flexible spending arrangement Charitable contribution Total amount Ari contributes to fringe benefits and voluntary deductions

SEE MORE QUESTIONS

Recommended textbooks for you

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

FINANCIAL ACCOUNTING

Accounting

ISBN:

9781259964947

Author:

Libby

Publisher:

MCG

Accounting

ISBN:

9781337272094

Author:

WARREN, Carl S., Reeve, James M., Duchac, Jonathan E.

Publisher:

Cengage Learning,

Accounting Information Systems

Accounting

ISBN:

9781337619202

Author:

Hall, James A.

Publisher:

Cengage Learning,

Horngren's Cost Accounting: A Managerial Emphasis…

Accounting

ISBN:

9780134475585

Author:

Srikant M. Datar, Madhav V. Rajan

Publisher:

PEARSON

Intermediate Accounting

Accounting

ISBN:

9781259722660

Author:

J. David Spiceland, Mark W. Nelson, Wayne M Thomas

Publisher:

McGraw-Hill Education

Financial and Managerial Accounting

Accounting

ISBN:

9781259726705

Author:

John J Wild, Ken W. Shaw, Barbara Chiappetta Fundamental Accounting Principles

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS