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Comprehensive Problem 5-75 (LO 5-1, LO 5-2, LO 5-3) [The following information applies to the questions displayed below.) Ken is 63 years old and unmarried. He retired at age 55 when he sold his business, Understock.com. Though Ken is retired, he is still very active. Ken reported the following financial information this year. Assume Ken files as a single taxpayer. a. Ken won $1,200 in an illegal game of poker (the game was played in Utah, where gambling is illegal b. Ken sold 1,000 shares of stock for $32 a share. He inherited the stock two years ago. His tax basis for investment) in the stock was $31 per share. c. Ken received $25.000 from an annuity he purchased eight years ago. He purchased the annuity, to be paid annually for 20 years, for $210,000. d. ken received $13,000 in disability benefits for the year. He purchased the disability insurance policy last year. e. Ken decided to go back to school to learn about European history. He received a $500 cash scholarship to attend. He used $300 to pay for his books and tuition, and he applied the rest toward his new car payment Ken's son, Mike, instructed his employer to make half of his final paycheck of the year payable to Ken as a gift from Mike to ken. Ken received the check on December 30 in the amount of $1,100. oken received a $610 refund of the $3,600 in state income taxes his employer withheld from his pay last year, Ken claimed $12,050 in itemized deductions last year (the standard deduction for a single filer was $12.000). h. Ken received $30,000 of interest from corporate bonds and money market accounts Comprehensive Problem 5-75 Part 2 Complete page 2 of Form 1040, Line 1-6 and Form 1040, Schedule 1, Lines 1-22 for ken. (Input all the values as positive numbers. Enter any non-financial information, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given information or Problem Statement. Use 2019 tax laws.) Answer is not complete. 1040 for a single taxpayer. 1040 PG 2 Schedule 1 Page 2 of Form 1040. Form 1040 (2018) Page 2 200 30,000 Attach Form() W-2 Also attach Formis) W-20 and 1000R tax was held 1 Wages, salons, too. Anach Form W-2 2a Tax-exempt interest 3a Quand dividends 4 RAS, pensions, and annutes Sa Social security benefits 6 Total income. Add lines 1 Drough 5. Add ary amount to Schedule 22 25.000 bTaxable interest b Ordinary Jovidends Taube amount Taxable amount 2,250 14,500 46,950 JUM LULU 2019 w..) Answer is not complete. 1040 for a single taxpayer. 1040 PG 2 Schedule 1 Additional Income and Adjustments to Income OMB No. 1545-0074 Schedule 1 of Form 1040. SCHEDULE 1 (Form 1040) Department of the Treasury Internal Revenue Service Name() shown on Form 1040 Attach to Form 1040 Go to www.irs.govi Form 1040 for instructions and the latest Information 2018 Attachment Sequence No. 01 Your social security number Additional Income 11 150 1-9 Reserved 10 Table refunds, credits, or offsets of state and local income taxes 11 Alimony received 12 Business income or loss). Altach Schedule Cor C-EZ 13 Capital gain or(s). Attach Schedule D Frequired. If not required, check here 14 Other gains or losses). Attach Form 4797 15a Reserved 16a Reserved 17 Renter s tate, royalties, partnerships, Scorporations, etc. Altach Schedule 18 Farm income or loss), Attach Schedule F 19 Unemployment compensation 20a Reserved 21 Other Income List type and amount Gambling Income 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and 18 19 1.200 Form 1040, line 6. Otherwise, go to line 23 2.250 10402 Comprehensive Problem 5-75 (LO 5-1, LO 5-2, LO 5-3) [The following information applies to the questions displayed below.) Ken is 63 years old and unmarried. He retired at age 55 when he sold his business, Understock.com. Though Ken is retired, he is still very active. Ken reported the following financial information this year. Assume Ken files as a single taxpayer. a. Ken won $1,200 in an illegal game of poker (the game was played in Utah, where gambling is illegal b. Ken sold 1,000 shares of stock for $32 a share. He inherited the stock two years ago. His tax basis for investment) in the stock was $31 per share. c. Ken received $25.000 from an annuity he purchased eight years ago. He purchased the annuity, to be paid annually for 20 years, for $210,000. d. ken received $13,000 in disability benefits for the year. He purchased the disability insurance policy last year. e. Ken decided to go back to school to learn about European history. He received a $500 cash scholarship to attend. He used $300 to pay for his books and tuition, and he applied the rest toward his new car payment Ken's son, Mike, instructed his employer to make half of his final paycheck of the year payable to Ken as a gift from Mike to ken. Ken received the check on December 30 in the amount of $1,100. oken received a $610 refund of the $3,600 in state income taxes his employer withheld from his pay last year, Ken claimed $12,050 in itemized deductions last year (the standard deduction for a single filer was $12.000). h. Ken received $30,000 of interest from corporate bonds and money market accounts Comprehensive Problem 5-75 Part 2 Complete page 2 of Form 1040, Line 1-6 and Form 1040, Schedule 1, Lines 1-22 for ken. (Input all the values as positive numbers. Enter any non-financial information, (e.g. Names, Addresses, social security numbers) EXACTLY as they appear in any given information or Problem Statement. Use 2019 tax laws.) Answer is not complete. 1040 for a single taxpayer. 1040 PG 2 Schedule 1 Page 2 of Form 1040. Form 1040 (2018) Page 2 200 30,000 Attach Form() W-2 Also attach Formis) W-20 and 1000R tax was held 1 Wages, salons, too. Anach Form W-2 2a Tax-exempt interest 3a Quand dividends 4 RAS, pensions, and annutes Sa Social security benefits 6 Total income. Add lines 1 Drough 5. Add ary amount to Schedule 22 25.000 bTaxable interest b Ordinary Jovidends Taube amount Taxable amount 2,250 14,500 46,950 JUM LULU 2019 w..) Answer is not complete. 1040 for a single taxpayer. 1040 PG 2 Schedule 1 Additional Income and Adjustments to Income OMB No. 1545-0074 Schedule 1 of Form 1040. SCHEDULE 1 (Form 1040) Department of the Treasury Internal Revenue Service Name() shown on Form 1040 Attach to Form 1040 Go to www.irs.govi Form 1040 for instructions and the latest Information 2018 Attachment Sequence No. 01 Your social security number Additional Income 11 150 1-9 Reserved 10 Table refunds, credits, or offsets of state and local income taxes 11 Alimony received 12 Business income or loss). Altach Schedule Cor C-EZ 13 Capital gain or(s). Attach Schedule D Frequired. If not required, check here 14 Other gains or losses). Attach Form 4797 15a Reserved 16a Reserved 17 Renter s tate, royalties, partnerships, Scorporations, etc. Altach Schedule 18 Farm income or loss), Attach Schedule F 19 Unemployment compensation 20a Reserved 21 Other Income List type and amount Gambling Income 22 Combine the amounts in the far right column. If you don't have any adjustments to income, enter here and 18 19 1.200 Form 1040, line 6. Otherwise, go to line 23 2.250 10402

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