Rhonda owns an interest in a limited partnership (a passive activity), and her share of the partnership's loss is $26,000. Her tax basis in the partnership is $27,000, and her at-risk amount is $21,000. In addition to the loss from the partnership, Rhonda has $60,000 of income from her salary, $2,000 of interest from corporate bonds, and $29,000 of income from another limited partnership (a passive activity). What amount of the partnership loss may Rhonda deduct in the current year?

Multiple Choice

• $21,000, which is her at-rist basis

• $29,000, which is the amount of her passive income

• $26,000 because her passive income exceeds her passive loss

• $27,000, which is her tax basis