Billy just finished his third year of college and is pursuing a degree in business full-time. He is not claimed as a dependent on his parents tax return. Billy paid $6,000 in tuition during the tax year, and spent $700 on books and supplies. He also received a scholarship in the amount of $3,500 not including any Pell grants. It has been determined that it will be to Billys advantage to claim an education credit over a Tuition and Fees Deduction. Choose the correct summary below:

a. Billy will claim the American Opportunity Credit and claim $2,500 in education expenses.

b. Billy will claim the American Opportunity Credit and claim $3,200 in education expenses.

c. Billy will claim the Lifetime Learning Credit and claim $2,500 in education expenses.

d. Billy will claim the Lifetime Learning Credit and claim $3,200 in education expenses.

Jane is 30 years old and has a four-year degree in English. She decided to pursue a masters degree and completed her first year during the tax year. She paid $8,000 in tuition and spent $500 on books purchased at the campus bookstore. Jane also purchased a laptop for $700 that she uses for school and personal use. It has been determined that it will be to Janes advantage to claim an education credit over a Tuition and Fees Deduction. Choose the correct summary below:

a. Jane will claim the American Opportunity Credit and claim $4,000 in education expenses.

b. Jane will claim the American Opportunity Credit and claim $8,500 in education expenses.

c. Jane will claim the Lifetime Learning Credit and claim $8,500 in education expenses.

d. Jane will claim the Lifetime Learning Credit and claim $9,200 in education expenses