Nick and Katelyn Paid $1,600 and $2,100 in Qualifying Expenses

Nick and Katelyn paid $1,600 and $2,100 in qualifying expenses for their two daughters, Nicole and Naomi, respectively, to attend the University of Nevada. Nicole is a sophomore and Naomi is a freshman. Nick and Katelyn's AGI is $202,000. What is their allowable American opportunity tax credit?

A) $0.
B) $2,000.
C) $3,050.
D) $3,700.