Question
Determine the portion of each of the following distributions that should be recorded as either dividend income or return of capital. a. Accumulated E&P at
Determine the portion of each of the following distributions that should be recorded as either dividend income or return of capital.
a. Accumulated E&P at the beginning of the year ($300,000)
Current E&P 100,000
Cash Distribution on 12/31/2014 150,000
b. Accumulated E&P at the beginning of the year $200,000
Current E&P (100,000)
Cash Distribution on 12/31/2014 250,000
c. Accumulated E&P at the beginning of the year $ 80,000
Current E&P 70,000
Cash Distribution on 12/31/2014 140,000
d. Accumulated E&P at the beginning of the year $ 150,000
Current E&P (70,000)
Cash Distribution on 6/30/2014 100,000
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