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Tuition Paid to a Private School for a Third-Grader Qualifies

question 63

True/False

Tuition paid to a private school for a third-grader qualifies for the dependent care credit.


Definitions:

EAR

Effective Annual Rate, a comprehensive calculation of interest on a loan or investment, considering the effect of compounding.

APR

Annual Percentage Rate; the annual rate charged for borrowing or earned through an investment, accounting for compounding over the year.

Savings Account

A bank account where money is kept for savings purposes and earns interest over time.

Stated Interest Rate

The annual interest rate declared on a bond or loan, not accounting for compounding or the effect of any fees.

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