1. Matt recently deposited $24,500 in a savings account paying a guaranteed interest rate of 3 percent for the next 10 years. (Do not round intermediate calculations. Round your answers to the nearest whole dollar amount.) Required:

If Matt expects his marginal tax rate to be 25.00 percent for the next 10 years, how much interest will he earn after-tax for the first year of his investment?

How much will he have in the account after four years?

How much will he have in the account after four years?

How much will he have in the account after seven years?

a.	After-tax interest	?
b.	After-tax interest	?
c.	Balance	?
d.	Balance	?

4. Mickey and Jenny Porter file a joint tax return, and they itemize deductions. The Porters incur $3,500 in employment-related miscellaneous itemized deductions. They also incur $5,500 of investment interest expense during the year. The Porters income for the year consists of $180,000 in salary, and $4,600 of interest income.

a. What is the amount of the Porters investment interest expense deduction for the year?

Investment interest expense deduction: ?

b. What would their investment interest expense deduction be if they also had a ($2,700) long-term capital loss?

Investment interest expense deduction: ?