If a Sole Proprietorship Has a Net Operating Loss for the Current

question 3

True/False

If a sole proprietorship has a net operating loss for the current period, the loss can only be used to offset other business income in the current year. Any current loss can be carried back three years and forward five years and used to offset business income in those years.

---

Definitions:

Trigeminal Nerve

The fifth cranial nerve responsible for sensation in the face and motor functions such as biting and chewing.

Sharp and Dull Stimulation

A method used in neurologic examination to assess sensory function by comparing responses to sharp (e.g., pinprick) versus dull stimuli.

Paresthesia

An abnormal sensation of the skin such as tingling, prickling, or numbness that arises without apparent cause.

Acquired Immunodeficiency Syndrome (AIDS)

A chronic, potentially life-threatening condition caused by the human immunodeficiency virus (HIV), severely damaging the immune system.