Which of the Following Statements Is Not True Regarding the Education

question 14

Multiple Choice

Which of the following statements is not true regarding the education credits?

• A)If a student receives a scholarship that is excluded from gross income,that amount should reduce qualified expenses.
• B)If a dependent pays for qualified expenses,the expenses are deemed paid by the taxpayer.
• C)If a relative makes payments for qualified expenses directly to the institution on behalf of the student,the expenses are deemed paid by the student.
• D)Payments made using borrowed funds are not considered qualified expenses.

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Definitions:

Apparent Authority

Apparent authority refers to a situation where a person appears to have the authority to act on behalf of another (such as an employer) even if no actual authority has been granted, leading others to reasonably believe in that authority.

Mutual Agreement

An accord reached by two or more parties who have made concessions to each other to resolve a conflict or reach a decision.

Notified

Informed or made aware, often in a formal or official manner.

Terminated

The ending of an employment relationship or agreement, either voluntarily by resignation, or involuntarily by the employer.