Question
Mindy, an individual, owns 100% of Markee, an S Corporation and has an initial stock basis of $10,000. 20X4 is the first year of Markee's
Mindy, an individual, owns 100% of Markee, an S Corporation and has an initial stock basis of $10,000. 20X4 is the first year of Markee's operations. Additional items reported by Markee during the current year are:
| Municipal bond interest | $10,000 |
| Ordinary income | 3,400 |
| Shareholder distributions | 5,000 |
What was Mindy's basis in Markee at the end of 20X4?
$5,000
$8,400
$15,000
$18,400
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Mastering The Five Tiers Of Audit Competency Internal Audit And IT Audit
Authors: Ann Butera
1st Edition
1498738494, 978-1498738491
