Answer:
Nell's AGI for 2016 is $48,000
Explanation:
The computation is shown below:
= Salary income + interest income - Business bad debt - net loss
where,
Net loss = - Non business short-term capital loss - Non business bad debt + Non business long-term capital gain
= - $3,000 - $6,000 + $4,000
= - $5,000
But the capital loss would be $3,000
So, the adjusted gross income would be
= $50,000 + $3,000 - $2,000 - $3,000
= $48,000
