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Kim made a gift to Sam of a passive activity (adjusted basis of $50,000, suspended losses of $20,000, and a fair market value of $80,000). No gift...

134. Kim made a gift to Sam of a passive activity (adjusted basis of $50,000, suspended losses of $20,000, and a fair market value of $80,000). No gift tax resulted from the transfer. Which of the following statements is true?
a. Sam's adjusted basis is $80,000.
b. Sam's adjusted basis is $50,000, and Sam can deduct the $20,000 of suspended losses in the future.
c. Sam's adjusted basis is $80,000, and Sam can deduct the $20,000 of suspended losses in the future.
d. Sam's adjusted basis is $50,000, and the suspended losses are lost.
e. None of the above.

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