Kendall and Siena are married and file a joint return. Siena is an employee and received a Form W-2. Kendall is a self-employed driver for Delicious Deliveries. Kendall and Siena had health insurance subsidized by Sienas employer. They paid $3,600 pre-tax in premiums for the year. Kendall provided a statement from the food delivery service that indicated the amount of mileage driven and fees paid for the year. These fees are considered ordinary and necessary for the food delivery business: 7,200 miles driven while delivering food Insulated box rental: $300 Vehicle safety inspection (required by Delicious Deliveries): $50 GPS device fee: $120 Kendalls record keeping application shows he also drove 4,125 miles between deliveries and 4,200 miles driven between his home and his first and last delivery point of the day. Kendall has a separate car for personal use. He bought and started using his second car for business on September 1, 2020. Kendall also kept receipts for the following out-of-pocket expenses: $100 on tolls $120 for car washes $48 for parking tickets $75 for Personal Protective Equipment (PPE) used during deliveries $150 for snacks and lunches Kendall consumed while working Kendall provided the Form 1099-NEC and Form 1099-K that he received from Delicious Deliveries. Kendall also received $300 in cash tips that were not reported elsewhere. Kendall won $10,000 on a scratch off lottery ticket. He has $3,000 in losing tickets. Sienas brother Quincy moved in with them in December 2020.Hes a full-time student working on his PhD. He works part-time and earned $3,800 in 2021. Kendall and Siena pay more than half of Quincys support. Quincy paid $5,000 in eligible educational expenses with the proceeds from a student loan. Quincy received a Form 1098-T from Yuma College, EIN 37-700XXXX, showing $5,000 in Box 1 and having boxes 8 and 9 checked. Kendall and Siena received the third Economic Impact Payment (EIP 3) in the amount of $2,800 in 2021. Quincy received his own EIP 3 of $1,400 in 2021. Kendall, Siena, and Quincy are U.S. citizens, have valid Social Security numbers, and lived in the United States all year.

1. Which of the following tax benefits do Kendall and Siena qualify for because of Quincy? (Select all that apply)

a. They qualify for a $500 credit for other dependents (ODC)

b. They qualify for a lifetime learning credit

c. They get a $4,300 dependency deduction

d. They do not qualify for any benefits because Quincy is not their dependent.

2. What are Kendalls Schedule C expenses?

a. $6,987

b. $7,305

c. $9,339

d. $9,647