Sensor Corporation Was Formed and Began Operations in 2015

question 88

Multiple Choice

Sensor Corporation was formed and began operations in 2015.For that year,it had operating income of $50,000,long-term capital gains of $25,000 and short-term capital losses of $10,000.In 2016,the corporation had $5,000 of net long-term capital losses,and in 2017 the corporation had $20,000 of net long-term capital losses.How much capital loss is available to carry forward to 2018?

• A)$- 0 -
• B)$10,000
• C)$15,000
• D)$20,000
• E)$25,000

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Definitions:

Postbox Rule

A principle in contract law that an offer is considered accepted when the acceptance letter is dispatched, not when it is received.

Time of Mailing

The specific date and time at which mail is officially accepted by a postal service for delivery.

Postbox Rule

A legal principle that an offer is considered accepted once the acceptance is dispatched by the offeree, not when it is received by the offeror.

Elephant Garlic

A large, mild-flavored variety of garlic that resembles a bulb of leek rather than a true garlic.