the sole shareholder of an s corp is active in business and has a basis of $5000 in the stock. The shareholder also has loaned $3000 to the corporation. The shareholders information return from the s corp indicated the shareholders portion of the loss from ordinary business is $7000

a) how much if anything can the shareholder deduct of his individual tax return?

b) what is the shareholders basis in the shares at the beginning of the next year?

c)what is the shareholders basis in the debt owed by the s corp at the beginning of the next year?

d)suppose in the following year the corporation has $300 of ordinary business income but no other items. What is the shareholders basis in the shares and in the debt at the at the beginning of the year when the $300 was earned?