During the current year, Paul, a single taxpayer, reported the following items:
$\begin{array}{ll}
\text { Salary } & \$ 75,000 \
\text { Interest on original loan incurred to purchase home } & 14,000 \
\text { Taxes on home } & 3,500 \
\text { Revenue from hobby } & 5,000 \
\text { Interest on home equity loan incurred to purchase hobby assets } & 800 \
\text { Exnenses of hobby } & 8.500
\end{array}$ Compute Paul's taxable income for the year.

Question

During the current year, Paul, a single taxpayer, reported the following items:
 $\begin{array}{ll}
\text { Salary } & \$ 75,000 \
\text { Interest on original loan incurred to purchase home } & 14,000 \
\text { Taxes on home } & 3,500 \
\text { Revenue from hobby } & 5,000 \
\text { Interest on home equity loan incurred to purchase hobby assets } & 800 \
\text { Exnenses of hobby } & 8.500
\end{array}$  Compute Paul's taxable income for the year.

Quizplus · Accepted Answer

The Answer of During the current year, Paul, a single taxpayer, reported the following items:
 $\begin{array}{ll}
\text { Salary } & \$ 75,000 \
\text { Interest on original loan incurred to purchase home } & 14,000 \
\text { Taxes on home } & 3,500 \
\text { Revenue from hobby } & 5,000 \
\text { Interest on home equity loan incurred to purchase hobby assets } & 800 \
\text { Exnenses of hobby } & 8.500
\end{array}$  Compute Paul's taxable income for the year.

During the Current Year, Paul, a Single Taxpayer, Reported the Following