21 ) On April 1 of the current year, Paul's house was robbed. He apparently interrupted the burglar because all that's missing is an antique brooch he inherited from his grandmother (June 12, 2006) and $300 in cash. Unfortunately, he didn't have a separate rider on her insurance policy covering the jewelry. Therefore, the insurance company reimbursed him only $500 for the brooch. His basis in the brooch was $6,000, and its fair market value was $7,500. His insurance policy also limits to $100 the amount of cash that can be claimed in a theft what's the Casualty Loss ?

Casualty Loss 1 21 Theft of jewelry 7,500 1 21 Theft of cash 300 1 21 Less: Insurance recovery - jewelry 500 Enter as a positive 1 21 Less: Insurance recovery - cash 100 Enter as a positive Subtotal 7,200 Less: Per incident floor 100 Less: AGI floor 200 Enter as a positive Deductible casualty loss 6,900