Mаrley is а 10% оwner in Cаnine Cоnnectiоn, LLC, a day-care center for dogs. She is also a 15% owner in Little Laughter, LLC, a successful children’s clothing store. Marley does not materially participate in either business. Her at-risk and loss/income for the current year is as follows: Canine Connection - At-risk = $175,000; Loss of $275,000 Little Laughter - At-risk = $25,000; Income of $125,000 Marley also has wage income of $80,000 and capital gain income of $30,000. Which of the following statements is true?