Intuit Academy Tax Level 1 Practice Test 2026 – Complete Exam Prep

The total interest Bria and Neil paid on their home mortgage for the year is identified as $2,400. This figure typically reflects the amount of interest paid on a loan over a specific period, in this case, a year. The determination of mortgage interest often comes from reviewing the annual mortgage statement provided by the lender, which outlines the total interest accrued over the loan term.

When considering mortgage payments, the structure usually involves higher interest payments at the beginning of the loan term, which gradually decrease as the principal is paid down. It's essential for homeowners to track this data because it can impact their tax returns if they elect to itemize deductions. The Tax Cuts and Jobs Act permits taxpayers to deduct mortgage interest on their primary residence, making the comprehension of this amount significant for financial planning.

While other amounts are presented, only $2,400 accurately represents the specified interest payment, likely derived from calculations based on the principal balance, interest rate, and the duration of the loan.