Indicate the amount (if any) that Josh can deduct as an ordinary and necessary business deduction in each of the following situations.
a. Josh borrowed $92,000 from First State Bank using his business assets as collateral. He used the money to buy City of Blanksville bonds. Over the course of a year, Josh paid interest of $14,300 on the borrowed funds, but he received $11,500 of interest on the bonds.
b. Josh purchased a piece of land for $83,500 in order to get a location to expand his business. He also paid $12,100 to construct a new driveway for access to the property.