How much interest should include in gross income, Accounting Basics

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How much interest should include in gross income

Lori Klemm purchased educational savings bonds to help finance her son's education. She paid $4,000 for the bonds. The bonds matured at $6,000, and the son used $2,500 to pay his tuition for the first semester. The son quit school after one semester and Klemm used the remaining money to buy her son a car. If Klemm's AGI is $25,000, how much interest should she include in gross income?

a. $0

b. $833

c. $1,167

d. $750

e. $2,000

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Accounting Basics: How much interest should include in gross income

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Accounting Basics: How much interest should include in gross income

Reference No:- TGS060780

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Request for Solution File

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Accounting Basics: How much interest should include in gross income

Reference No:- TGS060780

Recent Questions Asked Accounting Basics

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