Question 7 What is the amount of interest deduction allowed for the current year, assuming Marge Meyer incurred the following:

Interest on loan used to purchase land for investment (assume no net investment income) $18,000 Interest on loan used to purchase personal residence $6,000 Interest on loan used to purchase boat $500 Interest on loan to purchase 100 shares of General Auto (no dividends or other investment income received during the year) $3,000 Question 7 options:

1) $27,000

2) $6,000

3) $27,500

4) $21,000

5) None of these

Question 8 A contribution made to the following donee is not deductible: Question 8 options:

1) Boy Scouts of America

2) Oxford University, England

3) Society for the Prevention of Cruelty to Animals

4) Michigan State University

5) California State Fair (an activity of the State of California)