1-Which of the listed items is not deductible as an itemized deduction for taxes? There is only one correct answer below. a)State income taxes b)Social Security taxes c)personal property taxes d)Local real estate taxes Question 2 Matilda Morse incurs interest expense on loans used to purchase investments producing taxable income . The amount of the interest expense is $4,000 and the amount of her investment income is $ 3,500 ( none of this investment income qualifies for a reduced tax rate) . What is her allowable deduction for investment interest expense for 2019? 3-Ted invests $20,000 in cash for a 1/3 * r * d interest in a partnership. He is also responsible for 1/3 * r * d of a $30,000 partnership recourse loan. The partnership passes through $2,000 of income to Ted and Ted withdraws $1000 from his partnership account. After these events, the partnership also pays off $6,000 of the loans listed above . What is Ted's amount at risk after all of the events above? 4-Which of the following individuals will be able to deduct the described losses in full in the current year? Check all that apply !!! a) Chuck who has a $5,000 loss from a limited partnership interest. His other income is $120,000 from wages and $ 8,000 from rental income on a duplex he owns. b) Sherry , a materially participating sole proprietor with basis and amounts at risk of $ 60,000 . She has a $10,000 loss from her sole proprietorship . c) Clyde who has income of $ 90,000 from self - employment , $ 5,000 of dividends , and a $3,000 loss from a limited partnership interest where he is just an investor in the partnership . d) Sally who has a $1,500 current loss and a $3,000 suspended loss from a limited partnership interest in TDK Realty Partners (she is only an investor ) She has no other passive activity . She sells TDK in the current year for a $2,500 gain