Problem 10-24 (LO. 2) Helen Derby borrowed $150,000 to acquire a parcel of land to be held for investment purposes. During the current year, she reported AGI of $90,000 and paid interest of $12,000 on the loan. Other items related to Helen's investments include the following: Interest and annuity income Long-term capital gain on sale of stock $11,000 3,500 800 Real estate tax on the investment land Helen is unmarried, does not itemize her deductions and does not elect to treat the capital gain as investment income. Helen did not have a disallowed investment interest expense amount from the prior year. a. Helen's net investment income is $ 15,300 X. Helen's investment interest expense deduction in the current year is $ 11,000 X. b. Indicate whether the following statements are "True" or "False" regarding the treatment of the portion of Helen's investment interest that is disallowed in the current year. The investment interest disallowed is carried over and becomes investment interest expense True in the subsequent year. The investment interest disallowed is lost and not subject to any carryover. False The investment interest disallowed is carried over and may be used to offset any type of income in the subsequent year. True