View the step-by-step solution to:


Basic Scenario 7: Evie Adams Using the tax software, complete the tax return, including Form 1040 and all

appropriate forms, schedules, or worksheets. Answer the questions following the scenario. Note: When entering Social Security numbers (SSNs) or Employer Identification Numbers (EINs), replace the Xs as directed, or with any four digits of your choice. Interview Notes

• Evie is single and has two young girls, Poppy and Lily, who lived with her all year.

• Evie paid more than half of the support for her daughters and all the cost of keeping up the home. • Evie was unemployed for two months (March and April). She cashed in her 401(k) and used the money to pay for living expenses. • Evie is paying off a student loan that she took out when she attended college for her bachelor's degree.

• She took some courses this year at Southwest College to improve her job skills as an educator. She did not receive a Form 1098-T for 2018.

• Evie was an elementary school teacher from May to December and paid $550 out of pocket for classroom supplies.

• She went to the local casino and won some money in 2019. During the interview she mentions that she had gambling losses of $700.

20. What is the total amount of adjustments on Evie's tax return?

a. $250

b. $600

c. $850

d. $1,550 21.

What is the lifetime learning education credit amount on Evie's tax return? $________. 22. What is the total federal income tax withheld on Evie's tax return? $_______.

23. What is the amount of gambling winnings reported on her 2019 return?

a. $0

b. $1,300

c. $2,000

d. $3,200

24. Evie is eligible to claim which of the following credits on her 2019 tax return?

a. Child and dependent care credit

b. Child tax credit

c. Earned income tax credit d. All of the above

25. Evie must pay an additional tax on the early distribution from her 401(k) of:

a. 0%

b. 5%

c. 10%

d. 15%

Recently Asked Questions

Why Join Course Hero?

Course Hero has all the homework and study help you need to succeed! We’ve got course-specific notes, study guides, and practice tests along with expert tutors.

  • -

    Study Documents

    Find the best study resources around, tagged to your specific courses. Share your own to gain free Course Hero access.

    Browse Documents
  • -

    Question & Answers

    Get one-on-one homework help from our expert tutors—available online 24/7. Ask your own questions or browse existing Q&A threads. Satisfaction guaranteed!

    Ask a Question
Ask Expert Tutors You can ask You can ask ( soon) You can ask (will expire )
Answers in as fast as 15 minutes