Han and Leia's (mom and dad college age child Chewie (age 21) is attending Inter-galactic State University studying cosmic navigation and business as a fulltime student. Chewie had a summer job at GSLLC where he earned $12,000. He also received $15,000 from mom and dad and scholarships and grants used for tuition, fees, and books in the amount of $20,000. Mom and Dad also provide Chewie with health insurance at an annual cost of $7,000. S&TCC estimated that it would cost $25,000 to $50,000 to demolish the old home. All the necessary permits to demolish the home were obtained from the Village of Mos Eisley but Han balked at the cost of demolition. Being clever and wanting a tax deduction, Han and Leia decided to donate the home to the Mos Eisley Rebellion Fire Departments (MORFED) for a training exercise. On October 1, as part of fire prevention month, MORFED burned down the structure and then put out the fire. MORFED charged Han and Leia $2,000 to haul away the burned out remains of the old home. A construction contract to build the home, a hanger with offices and a landing strip was signed with S&TCC on September 15, 2021. The cost of building the home is $1,250,000. They paid 20% of the cost in cash and borrowed the balance from the Next Empire and Republic Bank (NERB) with 30-year home mortgage loan secured by the principal residence at 3.35% per annum with NERB on September 22, 2021. The closing costs included points of 1% to buy down the interest rate from 4.55%. Separately, Han entered signed construction contract with S&TCC to build the hanger with offices and the airstrip on September 30, 2021. The hanger with offices and the airstrip houses Galactic Shipping LLC (GSLLC). The cost of the hanger with offices is $1,600,000. GSLLC will borrow 90% of the construction cost of the hanger with offices from NERB on a ten year note at a below market rate of interest of 0.125%. Han and Leia are personally guaranteeing the loan from NERB to GSLLC. The landing strip will cost another $1,245,000 to build. Han and Leia have decided to subdivide some of the 30-acre property to finance the building of the landing strip. They anticipate that they can sell six (6) two-acre lots for $389,000 apiece through BFR that is charging a 5% commission, BFR sold all six lots, in December 2021. Han purchased a used spaceship that named the Millennium Falcon II in the second quarter of 2021 from Vader's Spaceships for $750,000. The hyper-drive and the navigation system were replaced in the third quarter of 2021 in the Millennium Falcon II at a cost of $1.92 million. Leia complained to Han that the Millennium Falcon II's interior was old and tired looking and in need of upgrading. Han agreed that it could use some new seats, bathrooms and sleeping quarters. The new interior cost $1.8 million Han financed the purchase and upgrades by borrowing the money from Nabu National Guild Bank at 3%. The Millennium Falcon II was used 60% for business Han and Leia's (mom and dad college age child Chewie (age 21) is attending Inter-galactic State University studying cosmic navigation and business as a fulltime student. Chewie had a summer job at GSLLC where he earned $12,000. He also received $15,000 from mom and dad and scholarships and grants used for tuition, fees, and books in the amount of $20,000. Mom and Dad also provide Chewie with health insurance at an annual cost of $7,000. S&TCC estimated that it would cost $25,000 to $50,000 to demolish the old home. All the necessary permits to demolish the home were obtained from the Village of Mos Eisley but Han balked at the cost of demolition. Being clever and wanting a tax deduction, Han and Leia decided to donate the home to the Mos Eisley Rebellion Fire Departments (MORFED) for a training exercise. On October 1, as part of fire prevention month, MORFED burned down the structure and then put out the fire. MORFED charged Han and Leia $2,000 to haul away the burned out remains of the old home. A construction contract to build the home, a hanger with offices and a landing strip was signed with S&TCC on September 15, 2021. The cost of building the home is $1,250,000. They paid 20% of the cost in cash and borrowed the balance from the Next Empire and Republic Bank (NERB) with 30-year home mortgage loan secured by the principal residence at 3.35% per annum with NERB on September 22, 2021. The closing costs included points of 1% to buy down the interest rate from 4.55%. Separately, Han entered signed construction contract with S&TCC to build the hanger with offices and the airstrip on September 30, 2021. The hanger with offices and the airstrip houses Galactic Shipping LLC (GSLLC). The cost of the hanger with offices is $1,600,000. GSLLC will borrow 90% of the construction cost of the hanger with offices from NERB on a ten year note at a below market rate of interest of 0.125%. Han and Leia are personally guaranteeing the loan from NERB to GSLLC. The landing strip will cost another $1,245,000 to build. Han and Leia have decided to subdivide some of the 30-acre property to finance the building of the landing strip. They anticipate that they can sell six (6) two-acre lots for $389,000 apiece through BFR that is charging a 5% commission, BFR sold all six lots, in December 2021. Han purchased a used spaceship that named the Millennium Falcon II in the second quarter of 2021 from Vader's Spaceships for $750,000. The hyper-drive and the navigation system were replaced in the third quarter of 2021 in the Millennium Falcon II at a cost of $1.92 million. Leia complained to Han that the Millennium Falcon II's interior was old and tired looking and in need of upgrading. Han agreed that it could use some new seats, bathrooms and sleeping quarters. The new interior cost $1.8 million Han financed the purchase and upgrades by borrowing the money from Nabu National Guild Bank at 3%. The Millennium Falcon II was used 60% for business