Problem 3-46 (Algorithmic) (Lo. 5, 6, 9) Toby and Nancy are engaged and plan to get married. During 2017, Toby is a full-time student and earns $7,600 from a part-time job With this income, student loans, savings, and nontaxable scholarships, he is self-supporting. For the year, Nancy is employed and reports $84,200 in wages. The personal exemption amount for 2017 is $4,050. Click here to access the standard deduction table to use. Click here to access the Tax Rate Schedules. If an amount is zero, enter, "0". Do not round your intermediate computations. Round your final answer to nearest whole dollar. a. Compute the following: Toby Nancy Filing Single Filing Single Gross income and AGI Standard deduction Personal exemption Taxable income Income tax b. Assume that Toby and Nancy get married in 2017 and file a joint return. What is their taxable income and income tax? Round your final answer to nearest whole dollar. Married Filing Jointly Gross income Standard deduction Personal exemptions Taxable income Income tax c. How much Federal income tax can Toby and Nancy save if they get married in 2017 and file a joint return? 2017 Tax Rate Schedules Head of household-Schedule Z Single-Schedule X If taxable of the If taxable of the income is Over But not income is: But not amount amount The tax is: Over The tax is: over over over- over- $9,325 .....10% $13,350 $ 0 0 0 .10% 0 $ $ 9,325 37,950 932.5015% 9,325 13,350 50,800 1,335.0015% 13,350 6,952.50 25% 91,900 131,200 50,800 37,950 5,226.2525% 37,950 50,800 212,500 131,200 91,900 191,650 18,713.75 28% 91,900 131,200 27,052.50 28% 49,816.50 33% 416,700 416,700 191,650 46,643.75 33% 191,650 212,500 212,500 117,202.50 35% 126,950.00 39.6% 120,910.25 35% 416,700 418,400 416,700 416,700 444,550 416,700 418,400 121,505.25 39.6% 418,400 444,550 444,550 Married filing jointly or Qualifying widow(er)- Married filing separately-Schedule Y-2 Schedule Y-1 If taxable of the If taxable of the income is income is: But not But not amount amount Over The tax is: Over- The tax is: over- over over- over- $ $18,650 0 0 9,325 0 ......10% ........10% $ 18,650 75,900 $1,865.0015% 18,650 9,325 37,950 932.5015% 9,325 153,100 75,900 10,452.50 25% 75,900 37,950 76,550 5,226.25 25% 37,950 14,876.25 28% 153,100 233,350 29,752.5028% 153,100 76,550 116,675 76,550 233,350 416,700 52,222.5033% 233,350 116,675 208,350 26,111.2533% 116,675 416,700 470,700 112,728.0035% 416,700 208,350 235,350 56,364.0035% 208,350 131,628.00 39.6% 235,350 470,700 470,700 235,350 65,814.0039.6% Exhibit 3.4 Basic Standard Deduction Amounts Standard Deduction Amount Filing Status 2016 2017 Single Married, filing jointly $6,300 6,350 12,600 12,700 12,700 Surviving spouse 12,600 Head of household 9,350 9,300 Married, filing separately 6,300 6,350