Ms. Lopez paid $7,260 interest on a mortgage on undeveloped land that she holds as an investment. Ms. Lopez's AGI is $112,200, which includes $4,900 interest income from a certificate of deposit. Which of the following statements is true?
A) Ms. Lopez can't deduct any of the $7,260 interest expense.
B) Ms. Lopez can deduct $7,260 interest expense as an itemized deduction.
C) Ms. Lopez can deduct $4,900 interest expense as an itemized deduction.
D) Ms. Lopez can deduct $4,900 interest expense as an above-the-line deduction.
Correct Answer:
Verified
Q73: Which of the following statements about an
Q74: In 2001, Mrs. Qualley, contributed $100,000 in
Q75: Which of the following statements about the
Q76: Mr. and Mrs. Philips recognized the
Q77: Tom Johnson, whose marginal tax rate
Q79: Ms. Beal recognized a $42,400 net long-term
Q80: In 2018, Mrs. Owens paid $50,000
Q81: Mr. Lainson died this year on a
Q82: Mr. and Mrs. Gupta want to make
Q83: Mrs. Heyer inherited real estate from her
Unlock this Answer For Free Now!
View this answer and more for free by performing one of the following actions
Scan the QR code to install the App and get 2 free unlocks
Unlock quizzes for free by uploading documents