Rules of the internal revenue service concerning the deductibility of points on a mortgage DO NOT include,   A for a buyer to deduct points the seller paid to reduce his cost basis B Points paid to refinance the property to be fully deductible in the year paid C points paid by the seller to be considered a selling expense D points to be deductible as interest to be paid directly to a lender

FINANCIAL ACCOUNTING
10th Edition
ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
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Question 1

Rules of the internal revenue service concerning the deductibility of points on a mortgage DO NOT include,

 

A for a buyer to deduct points the seller paid to reduce his cost basis

B Points paid to refinance the property to be fully deductible in the year paid

C points paid by the seller to be considered a selling expense

D points to be deductible as interest to be paid directly to a lender

question 2

which of the folloeing would actually be included in an annual property operating statement of a potential real estate investment

A economic base analysis

B managment fee

C comparative market analysis

D investor`s earning potential  

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