Problem 5-18 Casualty and Theft Losses (LO 5.5) On January 3, 2017, Carey discovers his diamond bracelet has been stolen. The bracelet had a fair market value and adjusted basis of $7,500. Assuming Carey had no insurance coverage on the bracelet and his adjusted gross income for 2017 is $45,000, calculate the amount of his theft loss deduction (after any limitations).