Morris redeemed $6,000 (principal of $4,500 and interest of $1,500) of Series I Savings Bonds to pay qualified higher education

Question

3 years ago

13

Morris redeemed $6,000 (principal of $4,500 and interest of $1,500) of Series I Savings Bonds to pay qualified higher education

expenses. His qualified expenses for the year totaled $6,500 and AGI consists of wages of $32,000. What is the amount of interest that Morris can exclude from income

Business

1 answer:

Julli [10] · Answer 1 · 2022-07-18T05:12:21+03:00

Answer:

$1,500

Explanation:

The total amount of interest that Morris can exclude from income is $1,500 due to the fact that it is excludible and qualified expenses are higher than the amount redeemed based on the detail or information given above Morris qualified expenses for the year totaled $6,500 while the amount he redeemed is $6,000.