$1.$ Investment interest expense includes:

Multiple Choice

interest expense from loans to purchase municipal bonds.

interest expense from loans to purchase corporate bonds.

interest expense from loans to purchase stocks.

interest expense from loans to purchase municipal bonds and interest expense from loans to purchase corporate bonds.

interest expense from loans to purchase corporate bonds and interest expense from loans to purchase stocks.

If a single taxpayer's marginal tax rate is $32$ percent and he holds the following assets for more than a year, which gains will be taxed at the lowest rate at the time of sale?

Multiple Choice

Gains from a work of art.

Gains from personal$-$use property.

Gains from a coin collection.

Gains attributable to tax depreciation taken on real property.

$3.$ Which of the following types of interest income is taxed as it is earned?

Multiple Choice

Interest from U$.$S$.$ Savings Bonds issued at a discount.

Accrued market premium on taxable bonds.

Accrued market discount on taxable bonds.

interest from money market accounts.

All of the choices are correct.