Nancy Reports the Following Income and Loss in the Current

question 1

Multiple Choice

Nancy reports the following income and loss in the current year. All three activities are passive activities with respect to Nancy.Nancy also has $21,000 of suspended losses attributable to activity C carried over from prior years.During the year,Nancy sells activity C and realizes a $15,000 taxable gain.What is Nancy's AGI as a result of these transactions?

• A)$50,000
• B)$55,000
• C)$64,000
• D)$71,000

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Definitions:

DMM

Digital Multimeter, a testing tool used to measure electrical values such as voltage, current, and resistance.

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The main circuit board, often called a motherboard, is the primary printed circuit board (PCB) in computers and other electronic devices, hosting the central processing unit and providing connectors for other peripherals.

Computer

Any of a number of different types of electronic processing devices with a CPU, input circuit, data retention, and output switching.