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1.Paige is employed as a nuclear engineer with Atom Systems Consultants, Inc. (ASCI). Her annual salary is $70,000. ASCI has an extensive fringe benefits program for its employees. Paige's pay stubs indicate that she had $7,230 withheld in federal taxes, $4,987 in state taxes, $4,495 in Social Security taxes, and $1,051 in Medicare taxes. Her compensation includes the following: Salary (before subtracting her 401 (k) and flexible spending plan contribution) $70,000 Personal contribution to 401 (k) account (7,000) Flexible spending plan contributions (3,600) Whole life insurance 397 Payment of educational costs See a below Free parking See b below Health club dues 900 Disability pay (see #7 below) 1,200 Paige furnishes you with the following description of the fringe benefits she received from ASCI in 2011. a) Taking advantage of ASCI's educational assistance program, during the fall Paige enrolled in two graduate engineering classes at a local college. ASCI paid her tuition, fees, and other course-related costs of $2,300. b) Paige also received free parking in the company's security garage that would normally cost $200 per month. 3. Paige manages the safety program for ASCI. In recognition of her superior handling of three potential crises during the year 2011, Paige was awarded the Employee Safety Award on December 15, 2011. The cash award was $500.

2. On January 15, 2011, Paige's father died. From her father's estate, she received stock valued at $30,000 (his basis was $12,000) and her father's house valued at $90,000 (his basis in the house was $55,000).

3. Paige owns several other investments and in February 2012, received a statement from her brokerage firm reporting the interest and dividends earned on the investments for 2011. What should I put in line 7 of a form 1040 tax form?

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