Gia and Abbey are each 50% owners of the the Giabey Company. Giabey is in need of capital so it applies for, and receives a $10,000,000 loan from Helpful Bank. If Giabey defaults on the loan, will Gia and Abbey be personally liable to Helpful Bank?

		a. Yes, if Giabey is an S Corporation or a C Corporation.
		b. Yes, if Giabey is a general partnership.
		c. Yes, if Giabey is an S Corporation or a general partnership.
		d. both (a) and(c) are correct.

Xtra Corporation generated $100,000 of ordinary income and $5,000 of capital losses in the current year. Xtras net income for the current year is:

		a. $100,000.
		b. $95,000.
		c. $97,000.