Bill Has a Mortgage Loan on His Personal Residence

Bill has a mortgage loan on his personal residence. He decides to pay 24 months of interest in advance on July 1, 2014. The total advanced interest payment is $60,000. How much of the advance interest payment can he deduct in 2014?

A) $60,000.
B) $30,000.
C) $15,000.
D) Mortgage interest is not deductible.
E) If a taxpayer makes an advance payment, he may not deduct any interest.