Problem $5-52($LO $5-1)($Static$)$

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$[$The following information applies to the questions displayed below.$]$

L$.$ A$.$ and Paula file as married taxpayers. In August of this year, they received a $$5,200$ refund of state income taxes that they paid last year.

How much of the refund, if any, must L$.$ A$.$ and Paula include in gross income under the following independent scenarios? Assume the standard deduction last year was $$27,700.$

Note: Leave no answer blank. Enter zero if applicable.

Problem $5-52$ Part b $($Static$)$

b$.$ Last year L$.$ A$.$ and Paula claimed itemized deductions of $$34,000.$ Their itemized deductions included state income taxes paid of $$7,500$ and no other state or local taxes.