Question
A business owner is considering alternative organizational forms for his business. The business net earnings are $200,000. The owner is single and has $7,000 of
A business owner is considering alternative organizational forms for his business. The business net earnings are $200,000. The owner is single and has $7,000 of income from other sources and personal itemized deductions of $11,000. Compensation for services is $70,000. Business charitable contributions are $4,000. Owner distributions from the business are $15.000 What is the owner's adjusted gross income (AIG) if this business is operated as an S corporation?=
A $207,000
B $273,000
C $277,000
D $288,000
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Intermediate Accounting
Authors: Donald E. Kieso, Jerry J. Weygandt, And Terry D. Warfield
13th Edition
9780470374948, 470423684, 470374942, 978-0470423684
