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Marsha is a shareholder in a calendar year S corporation. At the beginning of the year, her stock basis is $20,000, her share of AAA

Marsha is a shareholder in a calendar year S corporation. At the beginning of the year, her stock basis is $20,000, her share of AAA is $4,000, and her share of corporate AEP is $10,000. She receives a $12,000 distribution, and her share of S corporation items includes a $4,000 long-term capital gain and $18,000 ordinary loss. Determine the effects of these events on AAA, stock basis, and AEP

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