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 for services. Jean received $400 in guaranteed payments for services.
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:
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:
Show the amount listed on the following lines of Spencers K-1.
- Line 1:
- Line 4:
- Line 5:
- Line 12:
- Show the amount listed on each of the following lines of Jean's K-1.
- Line 1:
- Line 4:
- Line 5:
- Line 12:
- Show the calculation of the amount of income on which Jean will pay self-employment tax:
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