1. Interest paid on a $130,000 loan is deductible if the loan proceeds were used to improve the taxpayer's main home.

True

False

2. Appreciated stock held for 7 months is donated to a qualified public charity. The deductible contribution is limited to the taxpayer's adjusted basis in the stock.

True

False

3. Taxpayers can only deduct medical expenses they pay for themselves (or their spouses if a joint return is filed).

True

False