Hi - I am struggling with the below problem. For the April 30 distributions of $176,000, from the Current E& P I came up with $120,000 and it is wrong. I used the following equation. $330,000 X [$176,00/($176,000 + $308,000) = $120.000. Can you tell me what I am doing wrong? I don't want all the answers. I just can't get past this first step.

On January 1 of the current year, Rhondell Corporation has accumulated E & P of $110,000. Current E & P for the year is $330,000, earned evenly throughout the year. Elizabeth and Jonathan are sole equal shareholders of Rhondell from January 1 to April 30. On May 1, Elizabeth sells all of her stock to Marshall. Rhondell makes two distributions to shareholders during the year: a total of $176,000 ($88,000 to Elizabeth and $88,000 to Jonathan) on April 30 and a total of $308,000 ($154,000 to Jonathan and $154,000 Marshall) on December 31.

Determine the allocation of the distributions by completing the table below. Assume that the shareholders have sufficient basis in their stock for any amount that is treated as return of capital.

If an amount is zero, enter "0". If required, round any division to two decimal places and use in subsequent computations. Round final answers to the nearest dollar.

From Current E & P From Accumulated E & P Treated as Return of Capital

April 30 distribution of $176,000 120,000

December 31 distribution of $308,000

Thank you, Kim O