What will be their tax savings for the first year

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Reference no: EM131992549

John and Cheryl just borrowed $26,830, on a home equity line of credit. The interest rate for the loan is 5.86% for the entire? year, and they took out the loan on May 1. John and Cheryl are in the 28?% tax bracket. What will be their tax savings for the first year ending December? 31? (Hint?: assume that all of the interest paid this year is tax? deductible.)

Their tax savings for the first year ending December 31 will be:

?(Round to the nearest? cent.)

Reference no: EM131992549

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