Which of the Following Statements Regarding the Earned Income Credit

question 176

Multiple Choice

Which of the following statements regarding the earned income credit is true?

• A)It is a nonrefundable credit.
• B)It is possible that a taxpayer with more earned income may receive more credit than a taxpayer with less earned income.
• C)A 70-year-old taxpayer with no dependents can qualify for the credit in certain circumstances.
• D)A taxpayer whose only source of income is interest from corporate bonds is eligible for the credit.

---

Definitions:

Stereotype

A common yet rigid and overly simplistic representation or belief about a certain group or object, usually formed from insufficient information.

Fundamental Attribution Error

A common bias in social psychology where people tend to overemphasize personality traits and underestimate situational factors when explaining others' behaviors.

Confirmation Bias

The habit of scouting for, construing, preferring, and recalling insights in a manner that upholds one's antecedent beliefs or guesses.

Stereotype

Overgeneralized and oversimplified beliefs about a group of people based on their membership in that group.