Which of the Following Tax Credits Is Fully Refundable

question 83

Multiple Choice

Which of the following tax credits is fully refundable?

• A) American opportunity credit
• B) Dependent care credit
• C) Earned income credit
• D) None of these

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Definitions:

Long-Term Costs

Expenses or implications that occur over an extended period, often considered when making decisions that have lasting impacts.

Predicted Benefits

Expected advantages or improvements that result from a particular action or policy.

System-1

Fast, automatic, intuitive approach of processing information, often contrasted with the slower, more deliberate reasoning of System 2.

System-2

A term used in psychology referring to the analytical and conscious mode of thinking, characterized by slower, more deliberate, and logical reasoning.