Harry and Wilma Are Married and File a Joint Income

Harry and Wilma are married and file a joint income tax return.On their tax return, they report $44,000 of adjusted gross income ($20,000 salary earned by Harry and $24,000 salary earned by Wilma) and claim two exemptions for their dependent children.During the year, they pay the following amounts to care for their 4-year old son and 6-year old daughter while they work. $\begin{array}{lr}\text { ABC Day Care Center } & \$ 3,200 \\\text { Blue Ridge Housekeeping Services } & 2,000 \\\text { Mrs. Mason (Harry's mother) } & 1,000\end{array}$ ? Harry and Wilma may claim a credit for child and dependent care expenses of:

A) $840.
B) $1,040.
C) $1,200.
D) $1,240.
E) None of the above.