A Passive Activity I.includes Any Trade or Business in Which a Taxpayer Does

Multiple Choice

A passive activity
I.includes any trade or business in which a taxpayer does not materially participate.
II.includes rentals of apartment buildings, rental houses, etc., where no significant personal services are involved.
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A) Only statement I is correct.
B) Only statement II is correct.
C) Both statements are correct.
D) Neither statement is correct.