I need help computing A and B
Simpson is a single individual who is employed full-time by Duff Corporation. This year Simpson reports AGI of $50,000 and has incurred the following medical expenses:
| |
|
|
| Dentist charges |
$ |
900 |
| Physician's charges |
|
1,800 |
| Optical charges |
|
500 |
| Cost of eyeglasses |
|
300 |
| Hospital charges |
|
2,100 |
| Prescription drugs |
|
250 |
| Over-the-counter drugs |
|
450 |
| Medical insurance premiums (not through an exchange) |
|
775 |
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.