Raul is married and files a joint tax return. His current investment interest expense of $95,000 is related to a loan used to purchase a parcel of unimproved land. Income from investments [dividends (not qualified) and interest] total $18,000 and miscellaneous itemized deductions (after adjustment for the 2%-of-AGI floor) amount to $2,800. In addition to the $1,400 of investment expenses included in miscellaneous itemized deductions, Raul paid $3,600 of real estate taxes on the unimproved land. He also has a $4,500 net long-term capital gain from the sale of another parcel of unimproved land. Raul's maximum investment interest deduction for the year is:
a) $95,000.
b) $18,000.
c) $17,500.
d) $13,000.
e) None of the above.