1. Martha has a net capital loss of $17,000 and other ordinary taxable income of $45,000 for the current year. What is the amount of Martha's capital loss carryforward? a.$17,000 b.$0 c.$14,000 d.$10,000 e.None of these choices are
1. Martha has a net capital loss of $17,000 and other ordinary taxable income of $45,000 for the current year. What is the amount of Martha's capital loss carryforward? a.$17,000 b.$0 c.$14,000 d.$10,000 e.None of these choices are
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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1. Martha has a net capital loss of $17,000 and other ordinary taxable income of $45,000 for the current year. What is the amount of Martha's capital loss carryforward?
a.$17,000
b.$0
c.$14,000
d.$10,000
e.None of these choices are correct.
2. Jerry bought his home 15 years ago for $60,000. Three years ago, Jerry married Debbie and she moved into the same house and has lived there since. If they sell Jerry's house in the current year for $340,000, what is their taxable gain on a joint tax return?
a.$0
b.$30,000
c.$155,000
d.$280,000
3. Which of the following is a capital asset?
a.A literary work held by the author
b.A taxpayer's principle residence
c.Real estate held by a developer
d.A truck used in a taxpayer's business
e.None of these choices are correct.
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