The At$-$Risk Rule $($LO $10\mathrm{.}8)$

Octavio starts the year with outside basis of $$23,000$ and an amount at$-$risk of $$23,000$ in his $40-$percent general partnership interest in Brown Partnership. In the current year, the partnership distributes $$5,000$ to Octavio. His share of allocated ordinary income is $$3,000.$ The partnership also takes on nonrecourse debt of $$20,000($none of which is qualified nonrecourse financing$).$

Compute Octavio$$s ending outside basis and amount at$-$risk.

Description Amount

Basis $fill in the blank $1$

Amount at$-$risk $fill in the blank $2$