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In 2020, Amanda and Jaxon Stuart have a daughter who is 1 year old. The Stuarts are full-time students and they are both 23 years

In 2020, Amanda and Jaxon Stuart have a daughter who is 1 year old. The Stuarts are full-time students and they are both 23 years old. Their only sources of income are gains from stock they held for three years before selling and wages from part-time jobs. What is their earned income credit in the following alternative scenarios if they file jointly? Use Exhibit 8-10. (Leave no answer blank. Enter zero if applicable.)

Problem 8-74 Part-b (Algo)

EXHIBIT 8-10 2020 Earned Income Credit Table

Qualifying Children (1) Maximum Earned Income Eligible for Credit (2) Credit % (3) Maximum Credit (1) (2) (4) Credit Phase-Out for AGI (or earned income if greater) Over This Amount (5) Phase-Out Percentage No Credit When AGI (or earned income if greater) Equals or Exceeds This Amount (4) + [(3)/(5)]
Married taxpayers filing joint returns
0 $ 7,030 7.65% $ 538 $14,680 7.65% $21,710
1 10,540 34 3,584 25,220 15.98 47,646
2 14,800 40 5,920 25,220 21.06 53,330
3+ 14,800 45 6,660 25,220 21.06 56,844
All taxpayers except married taxpayers filing joint returns
0 $ 7,030 7.65% $ 538 $ 8,790 7.65% $15,820
1 10,540 34 3,584 19,330 15.98 41,756
2 14,800 40 5,920 19,330 21.06 47,440
3+ 14,800 45 6,660 19,330 21.06 50,954

b. Their AGI is $20,000, consisting of $10,100 of lottery winnings (unearned income) and $9,900 of wages.

Earned income credit? ________________

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