On July 1, 2011, Sam Confrey received a five year, $50,000 loan from his employer.The loan was intended to assist Sam with the purchase of a home in his new employment loca- tion.The new home is 47 kilometers closer to Sam's new work location.The interest rate on the loan was 3 percent.Assume that during the third and fourth quarters of 2011, the relevant prescribed rate of interest is 4 percent.The effect of this transaction on his Tax- able Income would be:

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The Answer of On July 1, 2011, Sam Confrey received a five year, $50,000 loan from his employer.The loan was intended to assist Sam with the purchase of a home in his new employment loca- tion.The new home is 47 kilometers closer to Sam's new work location.The interest rate on the loan was 3 percent.Assume that during the third and fourth quarters of 2011, the relevant prescribed rate of interest is 4 percent.The effect of this transaction on his Tax- able Income would be:

On July 1, 2011, Sam Confrey Received a Five Year