In 2013 Through 2017,Shannon Borrowed a Total of $35,000 for Higher

question 89

Multiple Choice

In 2013 through 2017,Shannon borrowed a total of $35,000 for higher education expenses on qualified education loans while supporting herself with a full-time job.In 2017,she had modified adjusted gross income of $50,000.The first year interest on the loan was $850.The amount that Shannon can claim on her tax return is:

• A)$0.
• B)$425.
• C)$640.
• D)$850.

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Definitions:

Consequential Damages

Refer to indirect damages resulting from a breach of contract, not caused directly by the breach but instead by the subsequent consequences of that breach.

Liquidated Damages

A provision in a contract that specifies a predetermined amount of money that must be paid as damages in the event of a breach by one of the parties.

Nominal Damages

Nominal Damages are a small sum awarded by a court when a legal wrong has occurred, but no significant actual loss was suffered by the plaintiff.

Compensatory Damages

Payments awarded to a plaintiff to compensate for harm, loss, or injury suffered due to another's wrongful act.