Akeem, Who Does Not Itemize, Incurred a Net Operating Loss

question 35

Multiple Choice

Akeem, who does not itemize, incurred a net operating loss (NOL) of $50,000 in 2016. His deductions in 2016 included AMT tax preference items of $20,000, and he had no AMT adjustments. Assuming the NOL is not carried back, what is Akeem's ATNOLD carryover to 2017?

• A)$50,000
• B)$30,000
• C)$20,000
• D)$40,000
• E)None of the above

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Definitions:

Monthly Unit Sales

The total number of individual items or products sold by a business during a month.

Break Even

The moment when the sum of all expenses equals the sum of all revenues, eliminating any profit or loss.

Target Profit

The anticipated profit that a company aims to achieve within a specific period.

Selling Price

The amount a buyer pays to purchase a product or service from a seller.