Question: During the current year, Paul, a single taxpayer, reported the following items: Salary $75,000 Interest on original loan incurred to purchase home 14,000 Taxes on

During the current year, Paul, a single taxpayer, reported the following items: Salary $75,000 Interest on original loan incurred to purchase home 14,000 Taxes on home 3,500 Revenue from hobby 5,000 Interest on home equity loan incurred to purchase hobby assets 800 Expenses of hobby 8,500 Compute Paul's taxable income for the year

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