Problem a: Investor Losses
Manny Kant is invested one passive activity Categorical, LLC As of he had the following AtRisk Basis and Suspended Losses in Categorical:
Categorical, LLC
AtRisk Basis
$
Suspended Losses under AtRisk Rules $
Suspended Passive Activity Losses $
In addition, Manny was allocated the following passive incomeloss from Categorical in and :
Categorical, LLC
Incomeloss
$
Incomeloss
$
Finally, during Manny's share of recourse debt in the activity increased by $
Required: What is Manny's ending atrisk basis in Categorial, LLC as of
Problem b: Investor losses continued
Assume that in Manny invested $ in an additional passive activity, Imperative, Inc. Imperative generated Profits of $ in Everything else is as before.
Required: Using the information from the previous part, and information above, what amount taxable incomeloss will Manny recognize from his investment in these activities for
