Tony and liz montey both work for xyz corporation where tony earns $32,000 and liz earns $31,000. however, xyz corporation does not have a retirement plan for their employees. tony and liz have three-year old twin daughters named trisha and tasha. the following is information related to their taxes for the current tax year:
gross income $63,000
tony's traditional ira contribution $1,000
liz's traditional ira contribution $2,000
total itemized deductions $16,200
child credit per child $1,000
personal exemptions $3,950 each
standard deduction $12,400
marginal tax rate 15 percent
narrend
refer to figure 4-1. approximately how much will tony and liz save in taxes as a result of their ira contributions?
a. $3,000
b. $150
c. $1,000
d. $450

Uppose that the federal reserve purchases a bond for $100,000 from donald truck, who deposits the proceeds in the manufacturer’s national bank. what will be the impact of this purchase on the supply of money? the money supply will increase by $100,000. the money supply will increase by $80,000. the money supply will increase by $500,000. this action will have no effect on the money supply. if the reserve requirement ratio is 20 percent, what is the maximum amount of additional loans that the manufacturer’s bank will be able to extend as the result of truck’s deposit? the maximum additional loans is $100,000. the maximum additional loans is $80,000. the maximum additional loans is $20,000. the maximum additional loans is $500,000. given the 20 percent reserve requirement, what is the maximum increase in the quantity of checkable deposits that could result throughout the entire banking system because of the fed’s action? this action will have no effect on the money supply. the money supply will eventually increase by $80,000. the money supply will eventually increase by $500,000. the money supply will eventually increase by $100,000.