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John, a limited partner of Candy Apple, LP, is allocated $32,000 of ordinary business loss from the partnership

Accounting

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John, a limited partner of Candy Apple, LP, is allocated $32,000 of ordinary business loss from the partnership. Before the loss allocation, his tax basis is $22,000 and at-risk amount is $12,000. John also has ordinary business income of $22,000 from Sweet Pea, LP as a general partner and ordinary business income of $8,200 from Red Tomato, as a limited partner. How much of the $32,000 loss from Candy Apple can John deduct currently?

Multiple Choice

• $8,200.

• $12,000.

• $23,800.

• $32,000.