Problem $6-49($LO$.3)$

During the year $($not a leap year$),$ Anna rented her vacation home for $87$ days, used it personally for $13$ days, and left it vacant for $265$

days. Use the IRS's method of allocating property taxes and interest.

She had the following income and expenses:

Rent income

Expenses

Real estate taxes

Interest on mortgage

Utilities

Repairs

Roof replacement $($a capital expenditure$)$

Depreciation

$$7,000$

$2,500$

$9,000$

$2,400$

$1,000$

$12,000$

$7,500$

If required, round your answers to the nearest dollar. If an amount is zero, enter $"0".$ Assume $365$ days in a year.

a$.$ Is her vacation home classified as rental property?

b$.$ Compute the following regarding the rental use of the property:

Gross income:

Total expenses:

c$.$ Anna has a

of $

this year.

d$.$ What amount of the real estate taxes can Anna deduct as an itemized deduction?

$

e$.$ What amount of the mortgage interest can Anna deduct as an itemized deduction?