Question 15 (2 points) The Ottomans own a winter cabin in Durango, Colorado. They purchased the cabin in 2004 for $65.000 During the current year, a blizzard partially destroys the cabin. The fair market value of the cabin after the blizzard is $70,000. The insurance company estimates that the cost of repairing the cabin will be $40,000 The insurance company will reimburse the Ottomans for 70% of the repair cost. What can they deductus casualty loss if their adjusted gross income for the year is $80.0007 Assume they are not in a federally declared disaster zone. a) $0 b) $3.900 c) $8,000 d) $11.900 e) $12,000 Question 16 (2 points) During the current year, Schmidt Corporation has operating income of $80,000 and a net capital loss of $20,000. What is Schmidt's taxable income? a) $-O- b) $60,000 c) $75,000 d) $80,000 e) $90,000