Reporting loss from a Final K-1 on a passive investment---Help!!!

I received a "Final" K-1 for a passive investment I made that turned out to be a total loss.  I invested $20,000 in this project (my basis) but the Final K-1 shows an Ordinary Income loss of $125,000.  I'm not sure how that is possible on a $20,000 investment.  In order to claim the loss on my tax return (i.e. so that it is not limited to passive gains), I Quick-Zoomed to enter disposition of partnership info which took me to the Additional Info sheet for the K-1.  In Part II, I entered the sales price of 0 on Line 5 and my basis of $20,000 on Line 7.  The result is a Long Term Loss of $20,000.  That seems right.  But the 1040/Schedule E reflects a loss of  $125,000, which seems wrong considering the amount of my investment.  Am I doing something wrong?  Or do you think the K-1 is incorrect???