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  3. larry recently invested $30,000 (tax basis) in pur

Larry recently invested $30,000 (tax basis) in purchasing a limited partnership interest in which he...

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Accounting

Larry recently invested $30,000 (tax basis) in purchasing a limited partnership interest in which he will have no management rights in the company. His at-risk amount is also $30,000. In addition, Larry's share of the limited partnership loss for the year is $2,500, his share of income from a different limited partnership is $1,200, and he has $4,000 of dividend income from the stock he owns. How much of Larry's $2,500 loss from the limited partnership can he deduct in the current year?

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