Reference no: EM132709736

Rex Remington has the following passive activity items:Prior-year passive loss carryforward amounts:

• ($3,000) from ABC PTP
• ($8,000) from XYZ PTP

Current-year passive income and loss amounts:

$5,000 ABC PTP

$2,000 DEF PTP

$4,000 XYZ PTP

$10,000 CHI

($7,000) JKL

($8,000) RST

Note: PTP denotes Publicly Traded Partnership, all other activity is private interest.

Problem 1: How much were the total losses that were used and how much loss is suspended to next year? (Both PTP and private interest)

A. ($13,000) used, ($13,000) suspended

B. ($17,000) used, ($9,000) suspended