A. Michelle is required to report the $215 of interest from Banco de Italia.

True False

B. Michelle is not able to exclude her wages from the U.S. Consulate even though she earned them in a foreign country. True False

C. Michelle is not required to file Form 1116, Foreign Tax Credit, to take the foreign tax credit. True False

D. If Michelle qualifies to exclude her foreign earned income, she must file a Form 2555, Foreign Earned Income, each year with her tax return. True False

E. To convert a sum of money into U.S. dollars, divide the amount of foreign currency by the exchange rate for the foreign currency to one U.S. dollar. True False

F. What is the amount of federal income tax withheld on Michelle's Form 1040? A. $6,957 B. $7,000 C. $7,500 D. $8,000 G. What eligibility requirements must Michelle meet in order to be eligible to exclude her foreign earned income? A. Her home must be in a foreign country. B. She must meet the bona fide residence test or physical presence test. C. She must have income that qualifies as foreign earned income. D. All of the above. H. General category income consists of wages earned in a foreign country that an individual does not exclude, or excludes only part of, under the foreign earned income exclusion. True False

I. What is the maximum amount of foreign earned income excluded from Michelle's tax return? A. $0 B. $2,500 C. $67,500 D. $65,000