In 2018, Jacob Earned a Salary of $185,000 and Also

Multiple Choice

In 2018, Jacob earned a salary of $185,000 and also had the following items of investment income: $39,000 net short-term capital gain on sale of stock, $7,000 dividend income, $5,000 interest income from corporate bonds, and $4,000 interest income from tax-exempt municipal bonds. Compute Jacob's net investment income (NII) tax.

A) $0
B) $1,368
C) $1,520
D) $2,090