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On January 1 of the current year, Rhondell Corporation has accumulated E & P of $ 1 1 0 , 0 0 0 . Current
On January of the current year, Rhondell Corporation has accumulated E & P of $ Current E & P for the year is $ earned evenly throughout the year. Elizabeth and Jonathan are sole equal shareholders of Rhondell from January to April On May Elizabeth sells all of her stock to Marshall. Rhondell makes two distributions to shareholders during the year: a total of $$ to Elizabeth and $ to Jonathan on April and a total of $$ to Jonathan and $ Marshall on December
Determine the allocation of the distributions by completing the table below. Assume that the shareholders have sufficient basis in their stock for any amount that is treated as return of capital.
If an amount is zero, enter If required, round any division to two decimal places and use in subsequent computations. Round final answers to the nearest dollar.
From Current
E & P From Accumulated
E & P Treated as
Return of Capital
April distribution of $
$fill in the blank
$fill in the blank
$fill in the blank
December distribution of $
$fill in the blank
$fill in the blank
$fill in the blank
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