Lewis is not an active participant in three rental activities, which have turned profits in recent years. The following gain and losses apply to the current year for Lewis:

                                        Gain or (Loss)

Rental Activity 1 .......................... ($10,000)
Rental Activity 2 .............................. 12,000
Rental Activity 3 .............................. (8,000)
Total .................................................. ($ 6,000)

What amount of the suspended loss should Lewis allocate to Rental Activity 3?

a. $4,500

b. $2,667

c. $0

d. Suspended losses may be allocated according to the taxpayer’s preference