In this scenario, <u>a. person A</u> has the lowest gross income of $50,000 but not the lowest adjusted gross income (AGI).
<h3>What is the difference between gross income and taxable income?</h3>
Gross income refers to the total earnings before taxable deductions and allowances.
After deducting tax-allowed deductions from the gross income, the net is called the AGI. Tax rates are applied to the AGI to arrive at a taxpayer's tax liability.
<h3>Data and Calculations:</h3>
Person A Person B Person C Person D
Annual gross income $50,000 $60,000 $90,000 $100,000
Annual deductions 5,000 10,000 30,000 60,000
Adjusted gross income $45,000 $50,000 $60,000 $40,000
Thus, <u>person A</u> has the lowest gross income in this scenario.
Learn more about gross income and taxable income at brainly.com/question/15530787
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