Accounting Question West LA College Accounting 015 Spring 2021 Midterm Exam Question 3

3.  Reva is a single taxpayer with a taxable pension of $24,000, tax-exempt interest of $8,000, and Social Security benefits of $10,000. What is the amount of her taxable Social Security benefits?

a. $8,500

b. $10,000

c. $5,000 

d. $7,050