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The problem presented is asking you to decide whether it is cheaper to rent or own a home, based on given tax and expense information. Here’s how we can approach solving part (a):

### Known Information:
1. **Rent**: $1350 per month.
2. **Mortgage**: $1600 per month, of which $1300 goes toward interest.
3. **Tax bracket**: 24%.
4. **Deductible expenses**:
   - Charitable donations: $4300.
   - State and local taxes (SALT): $9000.
5. **Standard deduction**: $12,550 (2021 value).

### Approach:
1. **Deductions for owning the house**:
   - Mortgage interest deduction: $1300 per month, or $15,600 annually.
   - Total deductions (charity, SALT, mortgage interest):  
     \[
     15,600 + 4,300 + 9,000 = 28,900
     \]
   - Compare this total deduction to the standard deduction of $12,550. Since $28,900 is higher, you would itemize deductions instead of taking the standard deduction.

2. **Tax Savings**:
   - Tax savings from itemized deductions:  
     \[
     28,900 \times 24\% = 6,936 \text{ per year, or } 578 \text{ per month}.
     \]
   - After tax savings, the effective monthly mortgage payment is:  
     \[
     1600 - 578 = 1022.
     \]

3. **Comparison**:
   - Renting costs $1350 per month.
   - Owning the house (after tax savings) costs $1022 per month.

Thus, it is cheaper to **own** the house, with a monthly expense of **$1022**.

Let me know if you'd like more details on any part of the calculation!

### Follow-up questions:
1. What are the tax implications of choosing to own vs rent in different tax brackets?
2. How do changing interest rates affect this calculation?
3. What would happen if the rent was higher than the current mortgage payment?
4. What are the long-term financial benefits of owning a house vs renting?
5. How would the calculation change if the deductible expenses increased?

#### Tip:
Always consider both short-term costs and long-term financial benefits when comparing renting and owning.

The rent on an apartment you like is $1350 per month. The monthly mortgage payment for a house you like would be $1600, of which approximately $1300 would go toward interest. Decide whether your monthly expense would be higher for the apartment or the house in the following cases. Assume you are single and assume the 2021 value of $12,550 for the standard deduction.

Decide whether it is cheaper to rent or own a house based on a 24% tax bracket and various deductible expenses. Includes a comparison of rent at $1350 per month versus owning a house with a $1600 monthly mortgage payment. Analyze the impact of tax savings from deductions, including mortgage interest, charitable donations, and state/local taxes.

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