If You Have Reached the Upper Limit of Debt Obligations

question 127

Multiple Choice

If you have reached the upper limit of debt obligations, your debt-to-equity ratio is about

• A) 0.
• B) 0.2.
• C) 0.25.
• D) 0.5.
• E) 1.

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Definitions:

EIC

Earned Income Credit, a refundable tax credit for low- to moderate-income working individuals and families.

Tax Refund

The amount of money returned to a taxpayer when the amount of taxes paid exceeds the actual tax liability.

Child and Dependent Care Credit

A tax credit offered to taxpayers to offset the cost of care for qualifying dependents to enable employment.

Full-time Student

A status designated for individuals enrolled in an educational institution taking a full load of courses as defined by the institution.