Bob katz and sally mander are a married couple with four children. total wages for 2013 equaled $96,400. stock which had been purchased nine months earlier was sold for a $2,000 gain and stock held for three years was sold for a $7,000 gain. interest income from savings was $100. itemized deductions totaled $23,500. bob and sally qualify for a $1,500 tax credit. what is bob's and sally's taxable income?

a. $60,900
b. $57,100
c. $51,600
d. $50,100

6. why the aggregate supply curve slopes upward in the short run in the short run, the quantity of output that firms supply can deviate from the natural level of output if the actual price level in the economy deviates from the expected price level. several theories explain how this might happen. for example, the misperceptions theory asserts that changes in the price level can temporarily mislead firms about what is happening to their output prices. consider a soybean farmer who expects a price level of 100 in the coming year. if the actual price level turns out to be 90, soybean prices will , and if the farmer mistakenly assumes that the price of soybeans declined relative to other prices of goods and services, she will respond by the quantity of soybeans supplied. if other producers in this economy mistake changes in the price level for changes in their relative prices, the unexpected decrease in the price level causes the quantity of output supplied to the natural level of output in the short run.