Suppose at the beginning of 2018, jamaal's basis in his s corporation stock was $27,000 and that jamaal has directly loaned the s corporation $10,000. during 2018, the s corporation reported an $80,000 ordinary business loss and no separately stated items. how much of the ordinary loss is deductible by jamaal if he owns 50% of the s corporation?

$37,000

Explanation:

Given:

Jamaal's basis in his S corporation stock = $27,000

Jamaal has directly loaned the S corporation = $10,000

Ordinary business loss = $80,000

Now,

for computing Jamaal's stock and debt basis, the losses are limited to stock basis and the debt basis.

thus,

Stock basis = $27,000

Debt basis = $ 10,000

hence,

Jamaal's stock and debt basis at the end of the year = $27,000 + $10,000

= $37,000

answer; /// the best answer to the above question is; the main economic goal that a society consider when deciding the best way to distribute its wealth is equity, this to ensure that all resources are equally distributed; ///(a) (economic equity)