Fact Pattern: Day Corporation, an S corporation, reported a $73,000 ordinary loss for Year 1 (a non-leap year). Day uses the calendar year as its taxable year, as do all of its shareholders. Individual B owns 25% of the Day stock at all times during Year 1 . B's basis in his Day Corporation stock at the beginning of Year 1 was $10,000. B materially participates in Day's business. At the end of Year 1, Day is liable for the following: What amount of Day's losses may be deducted by B in Year 1, and what amount of Day's losses can be carried over by B to Year 2? A. Deducted, $18,250; carryover, $0. B. Deducted, $13,000; carryover, $5,250. C. Deducted, $13,000; carryover, $0. D. Deducted, $18,000; carryover, $250