Wilma Is a Widow,age 80 and Blind,who Is Claimed as a Dependent

Multiple Choice

Wilma is a widow,age 80 and blind,who is claimed as a dependent by her son.During 2010,she received $4,800 in Social Security benefits,$2,200 in bank interest,and $1,800 in cash dividends from stocks.Wilma's taxable income is:

A) $4,000 - $950 - $2,800 = $250.
B) $4,000 - $2,800 = $1,200.
C) $4,000 - $950 - $1,400 = $1,650.
D) $8,800 - $950 - $2,800 = $5,050.
E) None of the above.