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For each of following situations, determine the amount of the allowable deduction. Be sure to show any necessary calculations and provide explanations of how you
For each of following situations, determine the amount of the allowable deduction. Be sure to show any necessary calculations and provide explanations of how you determined the deductible amount. a. Ukarie has an adjusted gross income of $40, 000. She made the following contributions to qualified charities: b. Carla purchased her home in 1994 by paying $60, 000 in cash and borrowing $140, 000. The home is currently worth $400, 000 and her mortgage is $110, 000. Carla is involved in a lawsuit (unrelated to any business interests) during the current year and she borrows $125, 000 using the equity in her home as collateral for the loan to pay her legal fees and court costs. She pays $9, 800 of interest on her original mortgage and $8, 000 of interest on the home equity loan during the current year
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