Exercise 12-23 (Algorithmic) (LO. 9) Kaiwan, Inc., a calendar year S corporation, is partly owned by Sharrod, whose beginning stock basis is $145,000. During the year, Sharrod's share of a Kaiwan long-term capital gain (LTCG) is $21,750, and his share of an ordinary loss is $87,725. Sharrod then receives a $87,000 cash distribution. If an amount is zero, enter "0". a. How much of the loss may Sharrod currently deduct? $ | X b. Sharrod's has a suspended loss of $ C. Sharrod's new basis in the Kaiwan stock is $ Feedback Check My Work One major advantage of an Selection is the ability to pass through any net operating loss of the corporation directly to the shareholders. A shareholder can deduct an NOL for the year in which the S corporation's tax year ends. The corporation does not deduct the NOL