In 2017, Kimberly received income from many different sources. Select from the option list provided whether her adjusted gross income should fully include, completely exclude, or partially exclude the income amounts below. Each choice may be used once, more than once, or not at all. Income Answer

1. $35,000 of wages reported on her W-2.

2. Interest of $600 from a personal loan made to a friend.

3. Dividends exceeding premiums by $1,100, received from a life

insurance policy.

4. $3,500 of unemployment compensation paid by the federal

government.

5. Qualified dependent care assistance worth $5,800.

6. Kimberly found a $4,000 diamond ring (that did not belong to her) in

the used couch she purchased 2 years ago, i. e., the ring was already in

the couch when purchased.

7. $1,950 of interest on bonds issued by the state of Maine.

8. Qualified reimbursement of $400 of moving expenses by Kimberly's

employer.

9. $5,000 award for civic achievement which Kimberly put directly in the

bank.

Choices: Include in AGI, Partially Exclude from AGI ,Completely Exclude from AGI

Which of the following is an example of an unsought good? a. cameron purchases a new bike. b. jordan buys paper towels. c. taylor buys cupcakes from her favorite bakery. d. riley buys new windshield wipers for her car.

At a student café, there are equal numbers of two types of customers with the following values. the café owner cannot distinguish between the two types of students because many students without early classes arrive early anyway (i.e., she cannot price-discriminate). students with early classes students without early classes coffee 70 60 banana 51 101 the marginal cost of coffee is 10 and the marginal cost of a banana is 40. the café owner is considering three pricing strategies: 1. mixed bundling: price bundle of coffee and a banana for 161, or just a coffee for 70. 2. price separately: offer coffee at 60, price a banana at 101. 3. bundle only: coffee and a banana for 121. do not offer goods separately. assume that if the price of an item or bundle is no more than exactly equal to a student's willingness to pay, then the student will purchase the item or bundle. for simplicity, assume there is just one student with an early class, and one student without an early class. price strategy revenue from pricing strategy cost from pricing strategy profit from pricing strategy 1. mixed bundling $ $ $ 2. price separately $ $ $ 3. bundle only $ $ $ pricing strategy yields the highest profit for the café owner.

Melissa is a very generous single woman. before this year, she had given over $11,400,000 in taxable gifts over the years and has completely exhausted her applicable credit amount. in the current year, melissa gave her daughter riley $100,000 and promptly filed her gift tax return. melissa did not make any other gifts this year. how much gift tax must riley pay the irs because of this transaction?