Samantha was ill for four months this year. Samantha missed work during this period, but disability insurance paid $18,000 of disability pay to replace her missed salary. Samantha shares the cost of the insurance with her employer. This year Samantha's employer paid $2,200 in disability premiums for Samantha as a nontaxable fringe benefit and Samantha paid the remaining $1,100 of premiums from her salary. What amount of the disability pay must Samantha include in her gross income (Rounded to the nearest whole dollar)?

• A. $1,100

• B. $18,000

• C. $12,000

• D. $7,000

• E. Zero - None of these disability pay is included in gross income.

Char and Russ Dasrup have one daughter, Siera, who is 16 years old. In November of last year, the Dasrup's took in Siera's 16 year old friend, Angela, who has lived with them ever since. The Dasrup's have not legally adopted Angela but Siera often refers to Angela as "her sister." The Dasrup's provide all of the support for both girls, neither girl receives any income during the year, and both girls live at the Dasrup's residence. Which of the following statements is true regarding who Char and Russ may claim as dependents for the current year?

• A. They may claim Siera as a dependent qualifying child and they may claim Angela as a dependent qualifying child.

• B. They may claim Siera as a dependent qualifying child they are not allowed to claim Angela as a dependent.

• C. They may claim Siera as a dependent qualifying child and they may claim Angela as a dependent qualifying relative.

• D. None of these statements is true.