3. Rhonda received $250 in interest from Tulsa City bonds; $120 interest from IBMbonds; and $15 from her savings account at UCU Credit Union. She received a$460 dividend from Huggies Company and $500 from Bicker Corporation. Bothdividends are also qualified dividends.4. Rhonda sold 200 shares of DM stock for $18 per share on June 15, 2021. Shepurchased the stock on December 12, 2013, for $10 per share. She also sold 50shares of RSA stock for $15 per share on October 2, 2021. She purchased this stockfor $65 per share on February 2, 2021. All stock basis amounts have been reportedto the IRS.5. The following is a record of medical expenses that Rhonda paid for herself duringthe year. The amounts reported are all amounts in excess of any insurancereimbursements. Rhonda drove 210 miles for medical purposes in 2021.$3,7001002501,450300200Insurance premiums• Prescription medications• Over-the-counter medicationDoctor and dentist visits• Eyeglasses• Physical therapy6. Rhonda paid $6,800 in mortgage interest during the year to UCU Credit Union(reported to her on Form 1098). She also paid $1,240 in real property taxes duringthe year.7. Rhonda contributed $5,400 to Heavenly Church during the year. The address forthe church is: 1342 Straight Way, Tulsa, OK 74101 Required:Use the following information to complete Rhonda Hill's federal income tax return.If any information is missing, use reasonable assumption to fill in the gaps.Prepare this return for the year ending December 31, 2021You may use any tax software program to complete the return, or you can do themmanually by downloading fillable forms from the IRS website (www.irs.gov).The forms, schedules, and instructions can be found at the IRS website(www.irs.gov). The instructions can be helpful in completing the forms.Facts:1. Rhonda Hill (unmarried) is employed as an office manager at the main office ofCarter & Associates CPA firm. Rhonda lives in a home she purchased 20 years ago.Rhonda's older cousin Mabel Wright lives with Rhonda in her home. Mabel isretired and receives $2,400 of Social Security payments each year. Mabel is able tosave this money because Rhonda provides all of Mabel's support. Rhonda alsoprovided the following information.Rhonda does not want to contribute to the presidential election campaign.Rhonda lives at 1234 Blue Ridge Way, Tulsa, OK 74101Rhonda's birthday is 12/18/1955 and her SS # is 335-67-8910Mabel's birthday is 11/2/1946 and her SS # is 566-77-8899• Rhonda does not have any foreign bank accounts or trustsRhonda did not acquire, sell, or exchange virtual currency in 2021.2. Rhonda received a Form W-2 from Carter & Associates that contained thefollowing information:• Line 1, 3, 5, and 16 Wages•●Line 2 Federal Income Tax withheldLine 4 Social Security Tax withheldLine 6 Medicare Tax withheld$72,0007,8004,4641,0442,700Line 17 State Income Tax withheldCarter & Associates address is: 1234 CPA Way, Tulsa, OK 74101Carter & Associates FEIN is 91-0001002Carter & Associates State ID # is: 124352667

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A federal Income Tax return is a return by individuals and firms for reporting their income to the…