Tiffany owns a business with two separate divisions. Tiffany participates for 750 hours in Division 1 and 100 hours in Division 2. Division 1 produces $500,000 of income and Division 2 incurs a $200,000 loss. Tiffany employs full-time employees in both divisions. If Tiffany elects to treat both divisions as a single activity, she cannot offset | a. the $200,000 loss against the $500,000 income. Tiffany may not treat Division 1 and Division 2 as separate activities b. because they are parts of one business. If Tiffany elects to treat the two divisions as separate activities, she can c. offset the $200,000 loss against the $500,000 income. If Tiffany elects to treat both divisions as a single activity, she can offset the $200,000 loss against the $500,000 income. d. None of these is correct