Instructions : Please provide 2-3 sentence brief explanation and choose the best multiple choice answer. All sources must be noted. SHOW ALL WORK.

PART A

On March 21, 2015, Rodney purchased stock in Colen Corporation (the stock is not small business stock) for $2,000. On June 8, 2016, the stock became worthless. During 2016, Rodney also had an $9,000 loss on 1244 small business stock purchased two years ago, a $10,000 loss on a nonbusiness bad debt, and a $6,000 long-term capital gain. How should Rodney treat these items on his 2016 tax return?

a.	$4,000 long-term capital loss and $9,000 short-term capital loss.
b.	$4,000 long-term capital loss and $6,000 short-term capital loss.
c.	$9,000 ordinary loss and $6,000 short-term capital loss.
d.	$9,000 ordinary loss and $3,000 short-term capital loss.
e.	$9,000 long-term capital loss and $3,000 short-term capital loss.

PART B

Johns car, which he uses 100% for personal purposes, was completely destroyed in an accident in 2016. The cars adjusted basis at the time of the accident was $13,000. Its fair market value was $10,000. The car was covered by a $2,000 deductible insurance policy. John did not file a claim against the insurance policy because of a fear that reporting the accident would result in a substantial increase in his insurance rates. His adjusted gross income was $14,000 (before considering the loss). What is Johns deductible loss?

a.	$0.
b.	$100.
c.	$500.
d.	$9,500.
e.	None of the above.