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Kim received a 1/3 profits and capital interest in Bright Line. LLC in exchange for legal services she provided. In addition to her share of
Kim received a 1/3 profits and capital interest in Bright Line. LLC in exchange for legal services she provided. In addition to her share of partnership profits or losses, she receives a $35.000 guaranteed payment each year for ongoing services she provides to the LLC. For X4. Bright Line reported the following revenues and expenses: Sales - $155,000. Cost of Goods Sold - $95.000. Depreciation Expense - $52.000. Long-Term Capital Gains - $20.000. Qualified Dividends - $6.500, and Municipal Bond Interest - $3.500. How much ordinary business income (loss) will Bright Line allocate to Kim on her Schedule K-1 for X4? Multiple Choice O ($27,000 o $2.000 o $1,500 o $8,000 O None of the choices will be reported ordinary business Income (loss) on Schedule K-1
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