Od. Salaries Oe. Farm income QUESTION 18 186 190 Mary Lou took an $8,000 distribution from her educational savings account and used $6,000 to pay for qualified higher education expenses. The remaining balance of $2,000 was used to purchase clothes. On the date of the distribution, her educational savings account had a $25,000 balance including the $20,000 she had contributed. How much of the $8,000 distribution is tax-free? a. $6,000 b. $7,625 Oc. $0 Od. $8,000 Oe. $7,600 QUESTION 19 Which of the following is nontaxable income to the recipient for tax purposes? Oa. Salary income