Margaret Lindley paid $15,000 of interest on her $300,000 acquisition debt for her home (fair market value of $500,000) $4,000 of interest on her $30,000 home-equity debt, $1,000 of credit card interest, and $3,000 of margin interest for the purchase of stock. Assume that Margaret Lindley has $10,000 of interest income this year and no investment expenses. How much of the interest expense may she deduct this year?

*******I KNOW THAT (B) IS INCORRECT ********

(A.) $23,000

CAN'T BE (B) $22,000 -THIS ONE CAME BACK WRONG

(C.) $19,000

(D.) $18,000

(E) None