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16) Alice is an attorney and earned S175.000 from her practice in the current year. Alice also owns three passive activities. The activities had the

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16) Alice is an attorney and earned S175.000 from her practice in the current year. Alice also owns three passive activities. The activities had the following income and losses: 16) Partnership A Partnership B Partnership C S 40,000 S (32,000) S (24,000) What is Alice's adjusted gross income for the current year? B) $119,000. A) S159,000. C) $215,000. D) $175,000 Stuart owns a 20% interest in a partnership (not involved in real estate) in which his at-risk amount was $18,000 at the beginning of the year. The partnership produces a S50,000 loss for the year. What is Stuart's at-risk amount at the end of the year? A)$10,000. 1 17. B) $8,000. D) (S32,000). C) SO. 15) If one spouse sells a home and excludes the gain on the sale, the gain on the sale of a residence by the other spouse is: A) Never excluded. B) Excluded up to $250,000. C) Excluded up to $500,000. D) Excluded up to $250.000 plus any gain exclusion not used by the first spouse. 19 19) On December 28, 2018, Shelia sold 300 shares of Power Inc. (a publicly traded company) at a loss of $5,900. On January 5, 2019, Shelia repurchased 300 shares of Power Inc. A) Only $3,000 of the loss is allowed. B) The $5,900 loss is only allowed if Shelia has capital gains to offset the loss. C) The $5,900 loss is disallowed. D) The $5,900 loss is only allowed if Shelia's AGI is less than $100,000. 19) 20) Bailey owns a 20% interest in a partnership (not involved in real estate) in which his at-risk amount was $25,000 at the beginning of the year. During the year, Bailey receives a distribution of $20,000 from the partnership. The partnership produces an $80,000 los during the year. If you ignore the passive loss rules, Bailey's deductible loss for the year 20) Is: D) $80,000. B) $5,000. C) $25,000. A) $20,000 21) Shauntae is 75 years old. He purchased a single life annuity contract that will pay him 21) S3,000 per month for 10 years. The expected return under the contract is A) $450,000. D) $360,000. C) $482,400. B) $30,000. 22) 22) Which of the following is not an employer-sponsored retirement plan? A) Roth IRA C) SIMPLE B) 401(k). D) Qualified pension plan D-3

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