This year Barney purchased 480 shares of Bell common stock for $27.90 per share. At year-end the Bell shares were only worth $3.10 per share. What amount can Barney deduct as a loss this year?

Multiple Choice

• None of the choices are correct - Barney is not entitled to a loss deduction.
• $13,392.
• $11,904.
• $1,488.
• Barney can deduct $13,392 only if he includes $1,488 in his taxable income.