This Summer,Rick's Home (Which Has a Basis of $80,000)is Damaged

question 14

Multiple Choice

This summer,Rick's home (which has a basis of $80,000) is damaged by a tornado which was declared a federal disaster.An appraisal by a realtor placed the FMV of the home at $120,000 before the tornado and at $85,000 after the tornado.Rick estimates that the insurance company will reimburse him for 60% of the loss.Next year,the insurance company pays Rick $20,000.Rick's current year's AGI is $50,000 and his next year's AGI is $55,000.Rick suffers no other casualty losses in either year.After limitations,Rick may deduct a casualty loss this year of

• A)$8,900.
• B)$9,900.
• C)$15,000.
• D)$35,000.

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Definitions:

Attachment Theory

A psychological, evolutionary, and ethological theory concerning relationships between humans, primarily the bond between infants and their caregivers, influencing future social and emotional development.

Patterns of Relationships

Recurring dynamics and behaviors observed within interpersonal relationships, which can influence the nature of social connections and interactions.

Environmental Origins

The concept that one's surroundings and context can significantly influence their development, traits, and behaviors.

Homosexuality

A sexual orientation characterized by a romantic or sexual attraction to individuals of the same sex.