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29 Assume that Clampett, Incorporated, has $250,000 of sales, $200,000 of cost of goods sold, $110,000 of interest income, and $90,000 of dividends. What is
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Assume that Clampett, Incorporated, has $250,000 of sales, $200,000 of cost of goods sold, $110,000 of interest income, and $90,000 of dividends. What is Clampett, Incorporated's excess net passive income? Multiple Choice $0 $87,500 $137,500 $200,000 None of the choices are correct. Kathy is a 25 percent partner in the KDP Partnership and receives $137,000 cash in complete liquidation of her partnership interest. Kathy's outside basis immediately before the distribution is $143,000. KDP currently has a 754 election in effect and has no hot assets or liabilities. Which of the following statements is true? Multiple Choice KDP will increase the basis of its assets by $6,000 and Kathy will recognize a $6,000 loss on the distribution. KDP will decrease the basis of its assets by $6,000 and Kathy will recognize a $6,000 gain on the distribution. KDP will decrease the basis of its assets by $6,000 and Kathy will recognize a $6,000 loss on the distribution. KDP will increase the basis of its assets by $6,000 and Kathy will recogert le a $6,000 gain on the distributionStep by Step Solution
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