On January 1, 1997, the basis for A's partnership interest in the ABC partner- ship is $50. A draws $10 each month from the partnership during 1997. The partnership is on a calendar year. All distributions are in cash. ABC has no profits from January to November, but has profits of $400 for December. A's share of the profits is 40%. Does A have taxable income because of the withdrawals during the first 11 months of the partnership's taxable year? What financial accounting treatment regarding the draws would ensure the best tax consequences? 4