Juan paid the following amounts of interest in 2015:
$150 on his personal credit card
$9,500 on his home mortgage
$750 on a personal car loan, which was not used for business
$350 on funds borrowed to purchase tax-exempt securities
What is his deductible interest for 2015?
A) $350.
B) $1,250.
C) $9,500.
D)$9,850.

Question

Quizplus · Accepted Answer

The only deductible interest is the $9,500 paid on the home mortgage. Personal credit card interest, personal car loan interest, and interest on funds borrowed to purchase tax-exempt securities are not deductible.

Juan Paid the Following Amounts of Interest in 2015