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Katy Has One Child, Dustin, Who Is 18 Years Old

question 25

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Katy has one child, Dustin, who is 18 years old at the end of the year. Dustin lived at home for three months during the year before leaving home to work full time in another city. During the year, Dustin earned $15,000. Katy provided more than half of Dustin's support for the year. Which of the following statements regarding whether Katy may claim Dustin as a dependent for the current year is accurate?


Definitions:

Marginal Revenue

The extra revenue earned by selling an additional unit of a product or service.

Marginal Cost

The added financial burden incurred by manufacturing one more good or service unit.

Government Rules

Regulations and guidelines established by government authorities to govern behavior, enforce standards, and protect the public interest.

Economies Of Scale

The cost per output unit tends to decrease as the operational scale increases, providing companies with financial advantages due to their size.

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