Ella's main home was foreclosed in 2022. Ella received a form 1099-c repoprting amounts of cancelled debt.

$10,000 in acqusition debt,

$5,000 of home equity loan, Ella uysed the funds from thid loan to purchase a new car.

How much of this cancellation of debt is excludable from Ellas 2022 2022 income under the qualified principal residence exclusion?.

A $0. The qualified princepal exclusion does not apply to cancelled dab in 2022. (14)

B $5,00

C $ 10,000

D $15,000