Jacob,who Is Single,paid Educational Expenses of $16,000 in 2016

question 49

Multiple Choice

Jacob,who is single,paid educational expenses of $16,000 in 2016.He redeemed Series EE bonds and received principal of $8,000 and interest of $3,000.Jacob has other adjusted gross income of $81,550.The $3,000 exclusion must be reduced by

• A)$0.
• B)$1,400.
• C)$1,600.
• D)$3,000.

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Definitions:

Limited Merchandise Assortment

A retail strategy focusing on carrying only a specific set of products, aiming for efficiency and depth in selected categories.

Outlet Stores

Retail stores that sell merchandise directly from manufacturers at reduced prices, often offering overstocked items, returned goods, or products from past seasons.

Off-price Retailers

Retailers that sell branded goods at significant discounts off the suggested retail price, typically by purchasing overstocked or out-of-season items.

Wholesale Prices

The cost of goods sold in large quantities primarily to retailers, distributors, or other merchants, rather than to end consumers.