Edna kropp's gross income for a year included salary, $12,400; commission, $27,750; intrerest, $440. her adjustment to income were payment to a retirement plan, $2,000, and a penalty for withdrawing savings early from a time-deposite account, $126. what was her gross income for the year? find her adjusted gross income for the year?

Gross income is the total amount of income before any deductions.

In this case, you would add Edna's salary, commission, and earned interest.

For adjusted gross income, you would subtract payment to retirement and withdrawal from the GROSS INCOME you calculated previously

Gross income is the total amount of income before any deductions.

In this case, you would add Edna's salary, commission, and earned interest.

For adjusted gross income, you would subtract payment to retirement and withdrawal from the GROSS INCOME you calculated previously

Explanation:

Gross income:

$12,400; commission + $27,750; interest +$440

= $40,590

Adjusted gross income:

$40,590 - $2,000 - $126 = $38,464

your answers are,

A) $40,590

B) $38,464

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