I cannot figure out what I am doing wrong. Will someone please help me figure this out?
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf.
Charlie was hired by Ajax this year as a corporate executive and a member of the board of directors. During the current year, Charlie received the following payments or benefits paid on his behalf.
| Salary payments | $ | 92,000 |
| Contributions to qualified pension plan | 10,200 | |
| Qualified health insurance premiums | 8,400 | |
| Year-end bonus | 15,000 | |
| Annual director’s fee | 10,000 | |
| Group-term life insurance premiums (face = $40,000) | 750 | |
| Whole life insurance premiums (face = $100,000) | 1,420 | |
| Disability insurance premiums (no special elections) | 4,350 | |
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| a. | Charlie uses the cash method and calendar year for tax purposes. Calculate Charlie’s gross income for the current year. |