Conner and Matsuko Paid $1,000 and $2,000, in Qualifying Expenses

question 117

Multiple Choice

Conner and Matsuko paid $1,000 and $2,000, in qualifying expenses for their two sons, Jason and Justin, respectively, to attend Montana State University. Jason is a sophomore and Justin is a freshman. Conner and Matsuko's AGI is $195,000. What is their allowable American opportunity tax credit?

• A) $0.
• B) $2,000.
• C) $3,050.
• D)$3,700.

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Definitions:

Subjectively Clear

A term referring to information or statements that are clearly understood from a personal or individual perspective, often based on personal judgment.

Power of Acceptance

In contract law, the authority to accept an offer and create a binding legal agreement by expressing agreement to its terms.

Undue Excitement

Excessive enthusiasm or agitation that surpasses usual levels or expectations.

Effective Offer

A proposal made by one party to another intending to create a legal obligation upon acceptance.