Question
. Judy and Larry are married and their combined salaries for the current year are $115,000. They actively participate in the rental of two houses.
. Judy and Larry are married and their combined salaries for the current year are $115,000. They actively participate in the rental of two houses. For the current year they have the following losses:
|
| Income/(Loss) |
| Limited Partnership A | $(5,000) |
| Limited Partnership B | 8,000 |
| Rental house X | (5,000) |
| Rental house Y | (2,000) |
What is Judy and Larry's adjusted gross income?
|
| a. | $108,000 |
|
| b. | $111,000 |
|
| c. | $114,000 |
|
| d. | $115,000 |
|
| e. | $118,000 |
According to the test bank 2016, the answer is (b). Please explain. Thank you!!!
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Research On Professional Responsibility And Ethics In Accounting Volume 24
Authors: Charles Richard Baker
1st Edition
180071758X, 9781800717589
