In the Fall of 2016,James Went Back to School to Earn

question 125

Multiple Choice

In the fall of 2016,James went back to school to earn a master of accountancy degree.He incurred $7,000 of qualified educational expenses and his modified AGI for the year was $40,000.His Lifetime Learning Credit is

• A)$1,000.
• B)$1,400.
• C)$1,800.
• D)$2,500.

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Definitions:

Accumulate Fortunes

The process or act of amassing a significant amount of wealth or resources over time.

Poverty

The state of having insufficient financial resources to meet basic living needs such as food, shelter, and clothing.

Ethical Relativist

An individual who believes that morality is relative to the norms of one's culture, meaning that what is considered moral in one society may be considered immoral in another.

Central Authority

A central authority is a governing body or administrative organization that has primary responsibility for overseeing a specific area of policy or regulation at a national or international level.