Which of the Following Decreases a Taxpayer's At-Risk Amount

question 17

Multiple Choice

Which of the following decreases a taxpayer's at-risk amount?

• A)Cash and the adjusted basis of property contributed to the activity.
• B)Amounts borrowed for use in the activity for which the taxpayer is personally liable or has pledged as security property not used in the activity.
• C)Taxpayer's share of amounts borrowed for use in the activity that is qualified nonrecourse financing.
• D)Taxpayer's share of the activity's income.
• E)None of these.

---

Definitions:

Throws Ball Overhand

A developmental milestone in children where they are able to throw a ball using an arm motion that goes above their head.

Car Safety Seats

Devices designed to secure children in vehicles, providing protection against injury in the event of an accident.

Convertible Car Seat

A type of car seat designed to grow with the child, converting from a rear-facing baby seat to a forward-facing seat and sometimes even to a booster seat.

Rearward-Facing

A term often used to describe the recommended orientation of car seats for infants and toddlers, aiming to enhance safety in vehicular accidents.