Nancy is married and file a joint tax return with her husband Steven. For tax year ending December 31, 2019 they reported the following items: Salary 1244 loss on stock acquired 3 years ago 1244 gain on stock acquired 10 months ago Short-term capital loss purchased last year Personal loan to friend that became uncollectible due to friend's untimely death Interest income Stock Dividend (FMV on date of Dividend) $ 195,000 $ 115,000 9,000 $ $ 14,000 12,000 $ $ 8,000 $ 25,000 a. Compute Nancy and Steve's adjusted gross income for 2019. b. Explain the reason for excluding any item from adjusted gross income.