Questions -

Q1. In 2010, Margaret and John Murphy are married taxpayers who file a joint tax return with AG1 of $25,000. During the year they incurred the following expenses:

Hospitalization insurance premiums $1,050

Premiums on an insurance policy that pays 300

$100 per day for each day Margaret is hospitalized

Medical care lodging (two people, one night) 65

Hospital bills 2.200

Doctor bills 850

Dentist bills 175

Prescription drugs and medicines 340

Psychiatric-care 300

In addition, during the year they drove 109 miles for medical transportation, and their insurance company reimbursed them $900 for the above expenses. Calculate the Murphy's medical expense deduction.

Q2. Ken paid the following amounts for interest during 2010:

Qualified interest on home mortgage $4,700

Auto loan interest 850

"Points" on the mortgage for acquisition of his 300 personal residence

Service changes on his account 40

Mastercard interest 300

Calculate Ken's itemized deduction for interest on Schedule A.

Q3. Jerry made the following contributions during 2010:

His synagogue (by check) $680

The Republican Party (by check) 180

The American Red Cross (by check) 150

His lodge for a holiday party ' " 100

In addition, Jerry donated used furniture to the Salvation Army costing $2,000 with a fair market value of $400. Assuming Jerry has adjusted gross income of $45,000, has the necessary written acknowledgments, and itemizes deductions. Complete the Gifts to Charity section of Schedule A, what is Jerry's deduction for 2010.