Choose the Word or Phrase in [ ] Which Will

question 67

Short Answer

Choose the word or phrase in [ ] which will correctly complete the statement. Select A for the first item, B for the second item, and C if neither item will correctly complete the statement.
-Homeowners may be able to deduct from their taxable income [mortgage principal | mortgage interest].

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Definitions:

Memorandum Entry

An accounting entry that is made in the records but does not affect the financial statements.

Tangible

Physical and material assets that can be seen and touched, such as machinery, buildings, and equipment.

Balance Sheet

A financial statement that summarizes a company's assets, liabilities, and shareholders' equity at a specific point in time, providing a snapshot of its financial condition.

Equipment Held

Assets in the form of machinery or other equipment that a company owns and uses in its operations.