$100,000
Explanation:
As Kathy and Annise are a married couple who file jointly, their revised AGI can be calculated by deducting a net loss from the adjusted gross income.
DATA
Current AGI = $120,000
Rental loss = $30,000
Partnership gain = $10,000
Revised AGI = Current AGI - Net loss
Revised AGI = 120,000 โ 20,000(w)
Revised AGI = 100,000
Working
Net loss = Rental loss โ partnership gain
Net loss = $30,000 - $10,000
Net loss = $20,000
NOTE: Kathy and Annise can deduct 20,000 loss against other income as they materially participate in rental activities.