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Problem 17-23 (Static) [LO 17-4, 17-6] Mrs. Carr made the following interest payments. Assume the taxable year is 2021. Required: Determine the extent to
Problem 17-23 (Static) [LO 17-4, 17-6] Mrs. Carr made the following interest payments. Assume the taxable year is 2021. Required: Determine the extent to which she can deduct each payment on her Form 1040. a. $21,000 on a $280,000 mortgage Incurred to construct (and secured by) her personal residence. b. $3,000 on a $34,000 second mortgage secured by her personal residence. Mrs. Carr used the proceeds to pay off her credit card debt. c. $2.290 on credit card debt. d. $15,000 on a $200,000 bank loan incurred to purchase inventory for her sole proprietorship. e. $1,610 on a bank loan incurred to purchase a car for her son. f. $1,750 on a bank loan incurred to purchase mutual fund shares that generated $1,900 dividend income this year. (For all requirements, leave no cells blank - be sure to enter "O" wherever required.) a Deduction b. Deduction c. Deduction Amount
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