Solution-What amount of interest was deductible on tax

What amount of interest was deductible on tax return

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Question - On December 1, 2016, Michaels, a self-employed cash-basis taxpayer, borrowed $100,000 to use in her business. The loan was to be repaid on November 30, 2017. Michaels paid the entire interest of $12,000 on December 31, 2016.

Required - What amount of interest was deductible on Michaels's 2017 income tax return?

$12,000

$11,000

$1,000

Reference no: EM132472652

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What amount of interest was deductible on tax return

Reference no: EM132472652

Reference no: EM132472652

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