Determine the effects of these events on aaa, stock basis


Mike is a shareholder in a calendar-year S corporation. At the beginning of the year, his stock basis is $12,000, his share of AAA is $2,000, and his share of corporate AEP is $5,000. He receives a $8,000 distribution, and his share of S corporation items includes a $2,000 long-term capital gain and a $9,000 ordinary loss. Determine the effects of these events on AAA, stock basis, and AEP.

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Accounting Basics: Determine the effects of these events on aaa, stock basis
Reference No:- TGS099290

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