Multiple Choice Questions
1. Jerry and Ellen are married filing jointly with AGI of $45,000. They made a $1,500 contribution to a qualified retirement plan. How much is their retirement savings contributions credit?
a. $0.
b. $150.
c. $300.
d. $750.
2. Marcia is a single filer and has AGI of $26,000. During the year, she contributed $800 to a Roth IRA. What amount of retirement savings contributions credit can Marcia take?
a. $0.
b. $80.
c. $160.
d. $800.
3. After two and one-half years of working with the orphanage and the government, Jake and Nikki adopted a little girl from Korea. The adoption process, which became final in January 2014, incurred the following qualified adoption expenses. How much and in which year can Jake and Nikki take the adoption credit? (Assume no limitation of the credit due to AGI.)

Year 2013 $6,000
Year 2014 $1,000
a. $6,000 in 2013.
b. $1,000 in 2014.
c. $7,000 in 2013.
d. $7,000 in 2014.
4. Abel and Loni adopted a boy (a U.S. citizen), during the current tax year and incurred a total of $14,675 in qualified adoption expenses. Abel and Loni have modified AGI of $225,000. What is the amount of adoption credit they can take?
a. $0.
b. $4,247.
c. $13,190.
d. $14,675.
5. Juan and Lydia both work, file a joint return, and have one qualifying child. They have AGI of $16,000. What is their EIC?
a. $0.
b. $496.
c. $3,305.
d. $9,720.
6. Thomas and Stephani are married with four qualifying children. Their AGI is $25,000. Calculate their EIC using the EIC formula.
a. $3,305.
b. $5,460.
c. $5,777.
d. $6,143.
7. Which of the following credits is never a refundable credit?
a. EIC
b. Foreign Tax Credit
c. Child tax credit
d. American opportunity tax credit