Lisa invested $18,000 in Carson (a C corporation)for a 10% interest and also invested $30,000 in Samson (an S corporation)for a 20% interest.For the current year,Carson had a taxable loss of $80,000 and Samson had a taxable loss of $60,000.No distributions were made.If Lisa is in the 35% marginal tax bracket,what is the maximum that she would be able to save in taxes in the current year as a result of these corporate losses?
A)$16,800
B)$12,000
C)$7,000
D)$4,200
E)$2,800

Question

Quizplus · Accepted Answer

The Answer of Lisa invested $18,000 in Carson (a C corporation)for a 10% interest and also invested $30,000 in Samson (an S corporation)for a 20% interest.For the current year,Carson had a taxable loss of $80,000 and Samson had a taxable loss of $60,000.No distributions were made.If Lisa is in the 35% marginal tax bracket,what is the maximum that she would be able to save in taxes in the current year as a result of these corporate losses?
A)$16,800
B)$12,000
C)$7,000
D)$4,200
E)$2,800

Lisa Invested $18,000 in Carson (A C Corporation)for a 10