Demarcus is a 50% partner in the DJ partnership. DJ has taxable income for the year of $200,000. Dernarcus received a $75,000 distribution from the partnership. What amount of income related to DJ must Demarcus recognize? $75,000 $100,000 $37,500 $200,000 Question 21 Corporations are permitted to deduct $3,000 in net capital losses annually. True False Jermaine owns all 200 shares of Peach Corporation stock valued at $50,000. Kenya, a new shareholder, receives 200 newly issued shares from Peach Corporation in exchange for inventory with an adjusted basis of $40,000 and an FMV of $50,000. Which of the following statements is correct? The transaction results in $10,000 of capital gain for Kenya. Kenya may defer the recognition of any tax until the stock is sold. No gain will be recognized by Kenya. The transaction results in $10,000 of ordinary income for Kenya