Answer:
4.86%
Explanation:
Given that,
First-class postage for a 1-ounce envelope = 4 cents
On August 1, 2007
A first-class stamp for the same envelope cost = 41 cents
Period, n = 49 years
i = 1.0486 - 1
= 0.0486 or 4.86%
Therefore, the interest rate is 4.86%.
Hop it helped you and you get a good grade on that assignment
Answer:
Rent or Buy Housing and the U.S. Tax Code
The tax deductibility of the interest ___paid___ on a mortgage and the___costs__ incurred on your home create a tax shelter for the___taxpayer___ , which ___reduces___your taxable__income__ and tax liability.
The standard deduction for mortgage interest under the 2014 U.S. tax code is:
c. $6,300 for single individuals and $12,600 for married couples filing jointly
Explanation:
Currently, the IRS allows taxpayers to deduct home mortgage interest on the first $750,000 ($375,000 if they are married but filing separately) of their indebtedness. However, higher limitations ($1 million) or ($500,000, if married but filing separately) apply if the taxpayers are deducting mortgage interests from their indebtedness incurred before December, 2017.
