Teri Pays the Following Interest Expenses During the Year What Is the Amount of Interest Expense That Can Be

question 113

Multiple Choice

Teri pays the following interest expenses during the year: $$\begin{array} { | l | r | } \hline \text { Home mortgage interest on personal residence } & \$ 8,500 \\\hline \text { Credit card interest on personal purchases } & 550 \\\hline \begin{array} { l } \text { Interest on loans used to purchase investments (Net investment } \\\text { income is } \$ 2,000 ) \end{array} & 2,400 \\\hline \text { Interest on loans used for a business conducted as a sole } \\\text { proprietorship } & 3,800 \\\hline\text { Interest on a credit card used exclusively in the business } &470\\\hline \end{array}$$ What is the amount of interest expense that can be deducted as an itemized deduction?

• A) $10,500
• B) $10,900
• C) $14,300
• D) $14,700

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Definitions:

Tropical Diseases

Infectious diseases that are prevalent in or unique to tropical and subtropical regions, often transmitted by insects or contaminated water.

Conquistadors

Spanish explorers and soldiers who participated in the conquest of the Americas in the 16th century, often for gold, glory, and the spread of Christianity.

Mexica

Refers to the indigenous people who were the rulers of the Aztec Empire, centered in what is now Mexico City, before the Spanish conquest in the 16th century.