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a.Natalie owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo: Insurance $1,000 Advertising expense

a.Natalie owns a condominium near Cocoa Beach in Florida. This year, she incurs the following expenses in connection with her condo:

Insurance $1,000

Advertising expense 500

Mortgage interest 3,400

Property taxes 900

Repairs & maintenance 650

Utilities 950

Depreciation 8,500

During the year, Natalie rented out the condo for 75 days, receiving $10,000 of gross income. She personally used the condo for 35 days during her vacation. Assume Natalie uses the IRS method of allocating expenses to rental use of the property. What is the total amount of for AGI (rental) deductions Natalie may deduct in the current year related to the condo?

b.Same facts as the prior problem, what is the total amount of itemized deductions for mortgage interest and real estate taxes related to the condo?

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