Suppose that at the beginning of 2019 jamaal's basis in his s corporation stock was $36,000 and jamaal has directly loaned the s corporation $9,830. during 2019, the s corporation reported an $92,500 ordinary business loss and no separately stated items. how much of the ordinary loss is deductible by jamaal if he owns 50 percent of the s corporation?

Right medical introduced a new implant that carries a five-year warranty against manufacturer’s defects. based on industry experience with similar product introductions, warranty costs are expected to approximate 2% of sales. sales were $8 million and actual warranty expenditures were $42,750 for the first year of selling the product. what amount (if any) should right report as a liability at the end of the year?