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Mary purchased 40 percent of an S corporation on February 28 of the current year and sells a 20 percent interest on November 30. If

Mary purchased 40 percent of an S corporation on February 28 of the current year and sells a 20 percent interest on November 30. If the corporation reports $10,000 of income for the year, what income does it report on Mary's Schedule K-1. Select one:

a. $4,000

b. $7,534

c. $3,014

d. $3,184

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