In 2016, Margaret and John Murphy (both over age 65) are married taxpayers who file a joint tax return with AGl of $26,500. During the year they incurred the following expenses:

Medical insurance premiums ............................................. $1,150

Premiums on an insurance policy that pays $100 per ......... 400

day for each day Margaret is hospitalized

Medical care lodging (two people, one night) .......................... 65

Hospital bills ........................................................................... 2,100

Doctor bills ................................................................................. 850

Dentist bills ................................................................................ 175

Prescription drugs and medicines .......................................... 340

Psychiatric care ......................................................................... 350

In addition, they drove 78 miles for medical transportation, and their insurance company reimbursed them $900 for the above expenses. On the following segment of Schedule A of Form 1040, calculate the Murphy's medical expense deduction.

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Caution: Do not include expenses reimbursed or paid by others. Medical 1 Medical and dental expenses (see instructions) and Dental Expenses born before January 2, 1952, multiply line 2 by 7.5% (0075) instead 2 Enter amount from Form 1040, line 38 2 3 Multiply line 2 by 10% (0-10). But if either you or your spouse was 4 Subtract line 3 from line 1. If line 3 is more than line 1, enter-0- 4