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Sonny and Cher equally own Song Corporation, an S corporation. Each has a $ 3 0 , 0 0 0 stock basis at the beginning

Sonny and Cher equally own Song Corporation, an S corporation. Each has a $30,000 stock basis at the beginning of the year. Song Corporation has a $60,000 mortgage on its balance sheet, and a note payable to Cher for $25,000. During the current year, Song Corporation reports an ordinary loss of $80,000.
\table[[,Sonny,Cher],[How much,,],[loss will each,,],[shareholder,,],[report on their,,],[tax return,,],[What is each,,],[shareholder's,,],[basis at the,,],[end of the,,],[year?,,]]
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