Question
[The following information applies to the questions displayed below.] Lionel is an unmarried law student at State University Law School, a qualified educational institution. This
[The following information applies to the questions displayed below.]
Lionel is an unmarried law student at State University Law School, a qualified educational institution. This year Lionel borrowed $35,000 from County Bank and paid interest of $2,100. Lionel used the loan proceeds to pay his law school tuition. Calculate the amounts Lionel can deduct for interest on higher-education loans under the following circumstances:
a. Lionel's AGI before deducting interest on higher-education loans is $50,000. ANSWER IS: $2,100
b. Lionel's AGI before deducting interest on higher-education loans is $74,000.
c. Lionel's AGI before deducting interest on higher-education loans is $90,000.
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Accounting For Managers Interpreting Accounting Information For Decision Making
Authors: Paul M. Collier
2nd Edition
0470016094, 9780470016091
