Rose Roberts is a carpenter. During the year of assessment she took out a loan of R100 000 from Standard Bank. She used R70 000 to purchase wood and R30 000 to purchase shares in a South African operating company. During the year of assessment she earned dividends of R4 200. She did not sell any of the furniture that she had made from the purchased wood. She had to pay R9 000 interest on the loan during the current year of assessment.

You are required to discuss the deductibility of the interest paid on the loan for the current year of assessment.