In 2016,Glenn Recorded a $108,000 Loss on a Passive Activity

Multiple Choice

In 2016,Glenn recorded a $108,000 loss on a passive activity.None of the loss is attributable to AMT adjustments or preferences.She has no other passive activities.Which of the following statements is correct?

A) In 2016,Glenn can deduct $108,000 for regular income tax purposes and for AMT purposes.
B) Glenn reports a $108,000 tax preference in 2016 as a result of the passive activity.
C) For regular income tax purposes,none of the passive activity loss is allowed in 2016.
D) In 2016,Glenn reports a positive adjustment of $25,000 as a result of the passive activity loss.
E) None of the above.