Eduardo purchased a vacation house on May 1, 2020. During 2021, he spent 20 days there, and rented it at fair rental price for 183 days. The house was vacant for the remainder of the year. If Eduardo uses the Tax Court method, what is the applicable percentage he should use for deducting mortgage interest and real estate tax expenses on his Schedule E? (a)  5.48% (b)  44.66% (c)  50.14% (d)  55.60%

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Leasing

Leasing is a contractual arrangement in which someone (a lessee) pays the owner (or lessor) of a building, land, vehicle, or other asset for the use of that asset. The lease is the agreement between lessee and lessor.