Ted Is the Sole Shareholder of a C Corporation,and Sue

Multiple Choice

Ted is the sole shareholder of a C corporation,and Sue owns a sole proprietorship.Both businesses were started in 2010,and each business sustained a $5,000 net capital loss for the year.Which of the following statements is correct?

A) Ted's corporation can deduct the $5,000 capital loss in 2010.
B) Ted's corporation can deduct $3,000 of the capital loss in 2010.
C) Sue can carry the capital loss back three years and forward five years.
D) Sue can deduct the $5,000 capital loss against ordinary income in 2010.
E) None of the above.