Question: Multiple Choice 8 - 2 6 ( LO 8 - 2 ) Aron and Nino own a home in Boulder City, Nevada, near Lake Mead.

Multiple Choice 8-26(LO 8-2)
Aron and Nino own a home in Boulder City, Nevada, near Lake Mead. During the year, they rented the house for 40 days for $3,300 and used it for personal use for 18 days. The house remained vacant for the remainder of the year. The expenses for the house included $14,225 in mortgage interest, $3,590 in property taxes, $1,250 in utilities, $1,360 in maintenance, and $11,050 in depreciation. What is the deductible net loss for the rental of their home (without considering the passive loss limitation)? Use the Tax Court method for allocation of expenses.

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