A Taxable Entity Has the Following Capital Gains and Losses $\begin{array}{lr}\text { Short-term capital loss } & \$(20,000) \\\text { Long-term capital gain } & 13,000\end{array}$

A taxable entity has the following capital gains and losses in 2018:
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$\begin{array}{lr}\text { Short-term capital loss } & \$(20,000) \\\text { Long-term capital gain } & 13,000\end{array}$

I.If the entity is an individual, $a \$ 7,000$ deduction is all owed in 2018 .
II.If the entity is a corporation, no deduction is allowed in 2018.

A) Only statement I is correct.
B) Only statement II is correct.
C) Both statements are correct.
D) Neither statement is correct.