A partner owns a 50-percent interest in a partnership. For the partnership tax y
ID: 2481318 • Letter: A
Question
A partner owns a 50-percent interest in a partnership. For the partnership tax year ended December 31, the partnership reports the following items of partnership income, gain, loss, deduction, and credit. Gross sales $400,000 Cost of goods sold 220,000 Wages 100,000 Net Section 1231 gain 50,000 Casualty loss 10,000 Interest 5,000 Depreciation 20,000 Business bad debt 5,000 Charitable contributions 5,000 Calculate the partner's distributive shares of (1) partnership ordinary income or loss and (2) separately stated items.
Explanation / Answer
Sales
400000
cogs
220000
100000
casuality loss
10000
Int
5000
Depreciation
20000
Bad debts
5000
Charity
5000
365000
365000
35000
Gain
50000
Net section
1231
51231
51231
Ordinary Income
86231
Share
50%
43115.5
Sales
400000
cogs
220000
100000
casuality loss
10000
Int
5000
Depreciation
20000
Bad debts
5000
Charity
5000
365000
365000
35000
Gain
50000
Net section
1231
51231
51231
Ordinary Income
86231
Share
50%
43115.5
Related Questions
drjack9650@gmail.com
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.