Question
Partnership JSE Associates has three general partners, Spencer, Jean and Elise, who share profits equally. During the year, Spencer and Elise each received $200 in
Partnership JSE Associates has three general partners, Spencer, Jean and Elise, who share profits equally.
During the year, Spencer and Elise each received $200 in guaranteed payments. Jean received $400 in guaranteed payments. The guaranteed payments are for services provided.
In addition to guaranteed payments, the partnership's had gross receipts of $2,400, operating expenses of $1,000. Interest income was $60 and Section 179 expense was $150.
Please answer the following:
1.Show the calculation of the amount of the partnership's ordinary income, Page 1, Line 22 and Schedule K, Line 1 of the Form 1065:
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Income Tax Fundamentals 2013
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
31st Edition
1111972516, 978-1285586618, 1285586611, 978-1285613109, 978-1111972516
