If a new car loan and a home equity loan carry identical interest rates and the borrower itemizes deductions,
A)
the home equity loan is preferred because the interest payment is tax-deductible.
B)
the auto loan is preferred because the interest payment is tax-deductible.
C)
neither is preferred because the interest payments on both are tax-deductible.
D)
neither is preferred because neither has deductible interest payments.
A
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