a. Judy graduates from high school in June 2010. In the fall, she enrolls for twelve units in Big State University. Big State University considers students who take twelve or more units full-time students. Judy’s parents pay her tuition and fees of $1,900, have AGI of $78,000, and claim Judy as a dependent.

What is the American Opportunity credit Judy’s parents can claim for Judy if they file a joint return?

b. In September 2010, Gene pays $5,200 to take a course to improve his job skills at work. Gene’s AGI is $35,000 for 2010. What is Gene’s lifetime learning credit for 2010?