1. What is the Tax Court method of allocating rental property expenses?
A) All expenses allocated as a percentage of rental-use days to total days owned.
B) All expenses allocated as a percentage of rental-use days to days used for all purposes.
C) Mortgage interest, qualified mortgage insurance premiums, real estate taxes, and casualty losses allocated as a percentage of rental-use days to total days owned during the year.
D) Mortgage interest and real estate taxes allocated as percentage of rental-use days to total days used.
2. A sole proprietor with a tentative loss may deduct which of the following for qualified business-use-of-home expenses? *
A) Depreciation.
B) Mortgage interest.
C) Rent.
D) Utilities.