What is craig end of year stock basis

Reference no: EM132784182

Mack S corporation is owned 50/50 by Mackenzie and Craig. At the beginning of the year Mack's stock basis was $40,000 and Craig's stock basis was $10,000. Craig loaned the entity $40,000 during the year. Mackenzie made a new capital contribution to the entity of $30,000. The entity made $50,000 cash distribution to Mackenzie and $50,000 cash distribution to Craig.

In addition it reported the following total activity:

Ordinary Business Income $338,00

Long Term Capital Gain 8,000

Charity Contribution 10,000

Dividend Income 5,000

Tax Exempt Interest Income 3,000

Problem 1: What is Craig's end of year stock basis?

Reference no: EM132784182

Questions Cloud

How much should you be willing to pay for this stock : If your expected rate of return is 16 percent, how much should you be willing to pay for this stock today

What is f federal tax payable for the current yea : F earned $100,000 of employment income in the current year. F's marital status is single. What is F's federal tax payable for the current year?

Indications of variation to a clients wellbeing : List 10 physical indications of variation to a client's wellbeing.

Discuss 2 hr functions in an organization : Identify and discuss 2 HR functions in an organization with which you are familiar.

What is craig end of year stock basis : What is Craig's end of year stock basis? Mack S corporation is owned 50/50 by Mackenzie and Craig. At the beginning of the year Mack's stock basis

What is the percentage return on the stock : Assuming Sienar Fleet Systems stock trades at a beta of 1.1, what is the percentage (%) return on the stock (rs)

Impact of environmental factors on organisations : What is the impact of environmental factors on organisations and how do organisations respond to them?

Why so many professionals consider accounting : Share your thoughts as to why so many professionals consider accounting to be the language of business. Why is this aspect of the business so important?

Compute the weighted-average cost of capital for a firm : Compute the weighted-average cost of capital for a firm with the following sources of funds and corresponding required rates of return

User Account

All Pages