Sue invested $6,500 in the ABC Limited Partnership and received a 10 percent interest in...
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Accounting
Sue invested $ in the ABC Limited Partnership and received a percent interest in the partnership. The partnership had $ of qualified nonrecourse debt and $ of debt Sue is not responsible to repay because she is a limited partner. Sue is allocated a percent share of both types of debt, resulting in a tax basis of $ and an atrisk amount of $ During the year, ABC LP generated a $ loss. How much of Sue's loss is disallowed due to her tax basis or atrisk amount?
Multiple Choice
$; all of her loss is allowed to be deducted.
$ disallowed because of her atrisk amount.
$ disallowed because of her tax basis.
$ disallowed because of her tax basis.
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