Susan and Kyle Are Married and Have Two Children Ages

question 154

Multiple Choice

Susan and Kyle are married and have two children ages 16 and 14.Their adjusted gross income for 2016 is $108,000.What amount can they claim for the child tax credit?

• A)$- 0 -
• B)$600
• C)$1,000
• D)$1,200
• E)$2,000

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Definitions:

Predetermined Manufacturing Overhead

The estimated cost of manufacturing overhead assigned to each unit of production, based on a predetermined rate.

Machine-hours

A measure of the amount of time a machine is used for production, often used in allocating manufacturing overhead based on usage.

Markup

The amount added to the cost price of goods, to cover overhead and profit, determining the selling price.

Overhead Applied

The allocation of overhead costs to specific jobs or activities based on a predetermined rate.