Funky Chicken is a calendar year general partnership with the following current year information: $$\begin{array} { l r }
\text { Operating loss } & \$ ( 300,000 ) \
\text { Liabilities: } & \
\text { Note payable, Big Bank } & \mathbf { 3 0 , 0 0 0 } \
\text { Note payable, June Cross } & \mathbf { 2 0 , 0 0 0 }
\end{array}$$ On January 1 June Cross bought 60% of Funky Chicken for $45,000. She then loaned the partnership $20,000. How much of the operating loss may Cross deduct currently?

Question

Funky Chicken is a calendar year general partnership with the following current year information: $$\begin{array} { l r } 
\text { Operating loss } & \$ ( 300,000 ) \
\text { Liabilities: } & \
\text { Note payable, Big Bank } & \mathbf { 3 0 , 0 0 0 } \
\text { Note payable, June Cross } & \mathbf { 2 0 , 0 0 0 }
\end{array}$$ On January 1 June Cross bought 60% of Funky Chicken for $45,000. She then loaned the partnership $20,000. How much of the operating loss may Cross deduct currently?

Quizplus · Accepted Answer

The Answer of Funky Chicken is a calendar year general partnership with the following current year information: $$\begin{array} { l r } 
\text { Operating loss } & \$ ( 300,000 ) \
\text { Liabilities: } & \
\text { Note payable, Big Bank } & \mathbf { 3 0 , 0 0 0 } \
\text { Note payable, June Cross } & \mathbf { 2 0 , 0 0 0 }
\end{array}$$ On January 1 June Cross bought 60% of Funky Chicken for $45,000. She then loaned the partnership $20,000. How much of the operating loss may Cross deduct currently?

Funky Chicken Is a Calendar Year General Partnership with the Following