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Calculate the Total Child Tax Credit and Other Dependent Credit

question 32

Essay

Calculate the total child tax credit and other dependent credit for the following taxpayers. Please show your work.
a. Ninfa is a single mother with 8-year-old and 9-year-old dependent sons and has $50,000 of AGI.
b. Sharon and Mark have one dependent 2-year-old child and $426,300 of AGI.
c. Carol is single and has one dependent 18-year-old son and $21,000 of AGI.


Definitions:

Net Income

The amount of money remaining after all operating expenses, taxes, and interest have been deducted from total revenue.

Sales

The process of exchanging a product or service for monetary value, typically in a business setting.

Return on Equity

A financial ratio that measures the profitability of a corporation in relation to stockholders’ equity, indicating how well a company uses investment funds to generate earnings growth.

Sales

The activity or business of selling products or services.

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