Ariana and John, who file a joint return, have two dependent children, Kai and Angel. Kai is a freshman at State University and Angel is working on her graduate degree. The couple paid qualified expenses of $4,000 for Kai (who is a half-time student) and $8,000 for Angel.

Required:

1. What education tax credits are available if Ariana and John report modified AGI of $173,900?
2. What education tax credits are available if Ariana and John report modified AGI of $173,900 and Angel is taking one class a semester (is less than a half-time student) and not taking classes in a degree program?