In the current year, Norris, an individual, has $50,000 of ordinary income, a net short-term capital loss (NSTCL) of $10,000, and a net long-term capital gain (NLTCG) of $2,800.From his capital gains and losses, Norris reports:
A) an offset against ordinary income of $10,000.
B) an offset against ordinary income of $3,000 and a NSTCL carryforward of $7,000.
C) an offset against ordinary income of $2,800 and a NSTCL carryforward of $7,200.
D) an offset against ordinary income of $3,000 and a NSTCL carryforward of $7,200.
E) an offset against ordinary income of $3,000 and a NSTCL carryforward of $4,200.
Correct Answer:
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