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Penguin LLC operates a large apparel store with several employees and substantial debt. Each LLC member is active in the business and receives compensation from
Penguin LLC operates a large apparel store with several employees and substantial debt. Each LLC member is active in the business and receives compensation from the LLC. The LLC invests its excess cash in government and corporate bonds, blue chip stocks, and a global mutual fund. It owns property that is subject to accelerated depreciation. Select either "Yes" or "No" to identify the types of Information that are reported on the partnership's Schedule K. a. Ordinary business income. b. Guaranteed payments to the LLC members. c. Excess interest expense, if the business interest expense limitation applies, so that the partners can carry it over to future years. d. Various types of investment income, such as dividends and taxable and tax-exempt interest. e. Possibly gains or losses if there are any security sales or capital gains distributions during the year. f. Net earnings (loss) from self-employment. g. Information related to foreign tax credit. h. Information related to alternative minimum tax
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