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Larry and Barry owned equally all of the stock of an S corporation. The S corporation has a loss of $80,000 during a non-leap year.

Larry and Barry owned equally all of the stock of an S corporation. The S corporation has a loss of $80,000 during a non-leap year. Larry sells his one half interest in the S corporation stock to his friend, James, on the 150th day of the year. How much of the loss should be allocated to Larry rounded to the nearest dollar?

$40,000

$47,123

$16,438

$23,562

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