During the year Martin rented his vacation home for three months and spent one month there. Gross rental income from the property was $5,000. Martin incurred the following expenses: mortgage interest, $3,000; real estate taxes, $1,500; utilities, $800; maintenance, $500; and depreciation, $4,000. Compute Martin's allowable deductions for the vacation home, using months to simplify the computation (rather than days as usually used in I.R.C. computations) and using the court-approved approach favorable to the taxpayer. For the following questions, use the court approach

The amount of taxes and interest deductible against the rental income under the court approved approach is:

The amount of utilities and maintenance deductible is:

The amount of deductible depreciation is:

The net income from this activity is:

If the IRS approach were used to treat the deductions, the net income from the activity would be:

The order of deductions is: