1. Miller owns a personal residence with a fair market value of $318,800 and an outstanding first mortgage of 255,040, which was entirely used to acquire the residence. This year Miller gets a home equity loan of $15,940 to purchase new jet skis. How much of this mortgage debt is treated as qualified residence indebtedness?

2. Linda, who files as a single taxpayer, had AGI of $280,000 for 2019. She incurred the following expenses and losses during the year:

Medical expenses (before the 10%-of-AGI limitation)	$33,000
State and local income taxes	4,800
State sales tax	1,300
Real estate taxes	6,000
Home mortgage interest	5,000
Automobile loan interest	750
Credit card interest	1,000
Charitable contributions	7,000
Casualty loss (before 10% limitation but after $100 floor; not in a Federally declared disaster area)	34,000
Unreimbursed employee business expenses	7,600

Calculate Linda's allowable itemized deductions for the year.

3.

Troy's financial records for the year reflect the following: Interest income from bank savings account $1,960 Taxable annuity receipts $3,920 City ad valorem property tax on investments $294 Investment interest expense $6,860 Calculate Troy's net investment income and his current investment interest deduction. How is any potential excess investment interest deduction treated? 1,274 x . Any Troy's net investment income is $ 5,586 and his investment interest deduction is $ potential excess investment interest expense not deducted this year is carried forward . Troy's financial records for the year reflect the following: Interest income from bank savings account $1,960 Taxable annuity receipts $3,920 City ad valorem property tax on investments $294 Investment interest expense $6,860 Calculate Troy's net investment income and his current investment interest deduction. How is any potential excess investment interest deduction treated? 1,274 x . Any Troy's net investment income is $ 5,586 and his investment interest deduction is $ potential excess investment interest expense not deducted this year is carried forward