A taxpayer with two rental houses accounts for and/or spends the following during the year:...

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Accounting

A taxpayer with two rental houses accounts for and/or spends the following during the year:
$8,000 in depreciation deductions
$7,000 in mortgage interest on the properties
$3,500 in real estate taxes
$4,000 in fire and home insurance premiums, equally covering the tax year and one year beyond
$2,500 in repairs and maintenance
How much in rental expenses do they have for the year?
Select one:
a. $21,000
b. $25,000
c. $13,000
d. $23,000

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