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Please show calculations and solve for the correct answer Question 1 0 / 4.6 pts Gary is the sole shareholder of Green Corp. Green Corp.
Please show calculations and solve for the correct answer
Question 1 0 / 4.6 pts Gary is the sole shareholder of Green Corp. Green Corp. made an Selection effective January 1, 2020. Green Corp. previously operated as a C corporation and had accumulated earnings and profits of $135,897 at the beginning of 2020. Because Green Corp.'s Selection was effective beginning January 1, 2020, Green Corp. had an AAA balance of $0 at the beginning of 2020. During 2020, Green Corp. had the following items: Ordinary business income: $220,000 Separately stated income items: $20,000 (not tax-exempt income) Separately stated income items: $30,000 (municipal bond interest - tax- exempt) Separately stated loss items: $40,000 Gary's stock basis at the beginning of 2020 was $39,320. Green Corp. distributed $238,136 to Gary on May 1, 2020. What amount of the 2020 distribution to Gary is a dividend distribution? You Answered 69,320 Correct Answer 38,136 Step by Step Solution
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