Cole, a 48-year-old married individual, received the following in 2017: S corporation stock dividends ............................................................ $5,000 Interest

Question:

Cole, a 48-year-old married individual, received the following in 2017:
S corporation stock dividends ............................................................ $5,000
Interest earned on federal Treasury bills ......................................... 1,000
Interest earned on municipal bonds ................................................. 2,500
Interest earned on state income tax refund ..................................... 50
Interest earned on Series EE savings bonds, used to help pay for
room and board for dependent in college ........................................ 1,500
Common stock property dividend (FMV) ........................................... 3,000

In addition, Cole spent $500 on lottery scratch-off cards in 2017. All of the cards were losers except for one, from which Cole won $1,000.
Given these facts, what total amount from the above should be included in gross income on Cole’s 2017 tax return?
a. $ 4,550
b. $ 6,550
c. $11,050
d. $11,550

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may... Dividend
A dividend is a distribution of a portion of company’s earnings, decided and managed by the company’s board of directors, and paid to the shareholders. Dividends are given on the shares. It is a token reward paid to the shareholders for their...