Reference no: EM133075765
Question - Don and Kate are equal owners of Beechmast, Inc., an S corporation, for several years. Beechmast, Inc. has a December 31 year-end. On July 31, 2020, Don sells his shares to Allie. At December 31, 2020, the corporation has a net loss from operations of $30,000. What amount of loss flows through to Don, Kate, and Allie respectively?
a. $10,000, $15,000, and $5,000
b. $10,000, $10,000, and $10,000
c. $7,500, $15,000, and $7,500
d. $8,730, $15,000, and $6,270
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