b. Compute Garys share of self-employment income (loss) to be reported on his year 1 Schedule K-1, assuming G&P is a limited partnership and Gary is a limited partner.

c. What do you believe Garys share of self-employment income (loss) to be reported on his year 1 Schedule K-1 should be, assuming G&P is an LLC and Gary spends 2,000 hours per year working there full time?

Problem 20-61 (LO 20-4) (Algo) [The following information applies to the questions displayed below.] The partnership agreement of the G\&P general partnership states that Gary will receive a guaranteed payment of $13,600, and that Gary and Prudence will share the remaining profits or losses in a 45/55 ratio. For year 1, the G\&P partnership reports the following results: roblem 20-61 Part a (Algo) a-1. How much ordinary income (loss) is allocated to Gary for the year? a-2. Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employment income (loss). How much ordinary income (loss) is allocated to Gary for the year? (Round your intermediate computations to the neares whole dollar amount.) Compute Gary's share of separately stated items to be reported on his year 1 Schedule K-1, including his self-employment income (loss). (Round your intermediate computations and final answers to the nearest whole dollar amount.)