Which of the Following Individuals or Couples Qualify for the Child

question 111

Multiple Choice

Which of the following individuals or couples qualify for the child and dependent-care credit?
I.Lois is single and earns $45,000 for the year. She pays $2,600 in child-care costs for her 8-year-old daughter.
II.Patrick and Carol are married and together they earn $67,000 ($42,000 and $25,000 respectively) . They pay $5,000 in child-care costs for their twin boys, age 11.
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• A)Only statement I is correct.
• B)Only statement II is correct.
• C)Both statements are correct.
• D)Neither statement is correct.

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Definitions:

Standard Deviation

A statistical measure that represents the dispersion or variability of a set of data points or values in a dataset.

Total Percentage Return

The total return on an investment, expressed as a percentage of the initial investment, including both capital gains and dividends or interest.

Quarterly Dividends

Quarterly dividends are dividends paid by a company to its shareholders on a quarterly basis, serving as a regular income stream for investors.

Geometric Average Return

The average rate of return per period on an investment, compounded over multiple periods, which is calculated by taking the nth root of the total returns, where n represents the number of periods.