45. Amy and Mitchell are equal partners in the accrual basis AM partnership. At the beginning of the current year, Amys capital account has a balance of 300,000, and the partnership has a recourse debts of 200,000 payable to unrelated parties. Assume that all partnership recourse debt is shared equally between the partners. The following information about AMs operation for the current year is obtained from the partnership records. Ordinary income 400,000 Interest income 4,000 Long-term capital loss 6,000 Short term capital gain 12,000 Charitable contribution 4,000 Cash distribution to Amy 20,000 Assume that year-end partnership debt payable to unrelated parties is 140,000. If all transactions are reflected in her beginning capital and basis is the same manner what is Amys basis in the partnership interest At the beginning of the year? At the end of the year? 48. The KL partnership is owned equally by Kayla and Lisa. Kayla basis is 20,000 at the beginning of the tax year. Lisas basis is 16,000 at the beginning of the year. KL reported the following income and expenses for the current year: Sales Revenue 150,000 Cost of Sales 80,000 Distribution to Lisa 15,000 Depreciation expense 20,000 Utilities 14,000 Rent Expense 18,000 Long-term capital gain 6,000 Payments to Mercy Hospital for Kaylas medical expenses 12,000 Determine the ordinary partnership income and separately stated items for the partnership Calculate Kaylas basis in her partnership interest at the end of the tax year. What items should Kayla report on her Federal income tax return? Calculate Lisas basis in her partnership interest at the end of the tax year. What items should Lisa report on her Federal income tax return? 50. Suzy contributed business related assets valued at 360,000 (basis of 200,000) in exchange for her 40% interest in the Suz-Anna Partnership. Anna contributed land and a building valued at 640,000 (basis of 380,000 in exchange for the remaining 60% interest. Annas property was encumbered by a qualified nonrecourse debt of 100,000, which was assumed by the partnership. The partnership reports the following and expenses for the current tax year: Sales 560,000 Utilities, salaries, and other operating expenses 360,000 Short term capital gain 10,000 Tax exempt interest income 4,000 Charitable contributions 8,000 Distribution to Suzy 10,000 Distribution to Anna 20,000 During the current tax year, Suz-Anna refinanced the land and building. At the end of the year, Suz-Anna had recourse debt of 100,000 for partnership accounts payable and qualified nonrecourse debt of 200,000. What is Suzys basis after the formation of the partnership? Annas basis? What income and separately state items does the partnership report on Suzys Schedule K-1? What items does Suzy report on her tax return? Assume that all partnerships debts are shared proportionately. At the end of the tax year, what are Suzys basis and amount at risk in her partnership interest