A.What is Nancy's dependency status for Zuu?    Qualifying Child Dependent.  Qualifying Relative Dependent.  She is not dependent of Mariella. B.Is Zuu eligible to claim the Child Tax Credit (CTC) and Additional Child Tax Credit (if the CTC is limited), or the Other Dependent Credit for any potential dependent? Choose the best response.   Zuu is eligible to claim the Child Tax Credit and/or Additional Child Tax Credit.  Zuu is eligible to claim the Other Dependent Credit.  Zuu is not eligible to claim the Child Tax Credit/Additional Child Tax Credit or the Other Dependent Credit.      C. Is Zuu eligible to claim and receive the Earned Income Credit?        Yes         No

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Zuu (26) is unmarried. Her unmarried sister, Nancy (21), lived with her all year. No one else lived in the home during the year. They are both U.S. citizens and have valid social security numbers. Nancy is not a student. Zuu paid all of her own support and the household expenses. She paid 83% of Nancy's support. Nancy paid 17% of her support. Nancy is not permanently and totally disabled. Zuu’s earned income and AGI was $26,930. She did not have any foreign income or investment income. Zuu’s gross income was $3,605. Zuu will claim Nancy if she qualifies to do so.

A.What is Nancy's dependency status for Zuu?

 
  1.  Qualifying Child Dependent.
  2.  Qualifying Relative Dependent.
  3.  She is not dependent of Mariella.

B.Is Zuu eligible to claim the Child Tax Credit (CTC) and Additional Child Tax Credit (if the CTC is limited), or the Other Dependent Credit for any potential dependent? Choose the best response.

 
  1. Zuu is eligible to claim the Child Tax Credit and/or Additional Child Tax Credit.
  2.  Zuu is eligible to claim the Other Dependent Credit.
  3.  Zuu is not eligible to claim the Child Tax Credit/Additional Child Tax Credit or the Other Dependent Credit.

     C. Is Zuu eligible to claim and receive the Earned Income Credit?

  1.        Yes 
  2.        No
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