Francisco owns a beach house condo that he rents. The following information is available: Personal use days 10 days Used by relatives 90 days Rental days 200 days Rental income $40,000 Expenses: Association condo fees $24,000 Utilities: Taxes $12,000 Interest on acquisition loan: $600,000 at 3% interest only $18,000 (this is the only debt of the taxpayer) Management fee for rentals $15,000 Depreciation $4,000 For this property, which of the following statements is the best answer? Group of answer choices All expenses are fully deductible. Only depreciation is deductible. Only interest and taxes are deductible. Expenses are deductible to the limit of income but are prioritized as follows: (1) interest and taxes, (2) operating expenses, then (3) depreciation