This fall Marsha and Jeff paid $5,000 for their son Josh's tuition and fees at State University (a qualified education institution). They also paid $1,000 for Josh's books. How much of these two payments can Marsha and Jeff deduct for AGI as tuition and fee deduction this year, assuming Josh is their dependent and their modified AGI is $135,000? (Assume 2016 rules apply for purposes of the qualified education expense deduction.)

a.		Marsha and Jeff can deduct $5,000 for AGI.
b.		Marsha and Jeff can deduct $4,000 for AGI.
c.		Marsha and Jeff can deduct $2,500 for AGI.
d.		Marsha and Jeff can deduct $2,000 for AGI.
e.		None - the tuition is not deductible.