26. Dianes modified AGI calculated without adjustment for educational interest expense is $149,200. Diane paid $5,000 of interest on loans used to pay qualified tuition costs for her dependent daughter, Deb.

a. The maximum deduction for qualified educational interest expense for any taxpayer is _______.

b. The deduction is phased-out ratably over a $30,000 range beginning with modified AGI over $_________ for married filing jointly taxpayers. The deduction is completely phased out once modified AGI is $__________.

c. Consequently, Dianes education interest expense deduction is $_________ = ($2,500 ($2,500 x [($________-145,000)/30,000])).