1. Ragan owns 65% of Nada stock (S-Corporation) throughout the year. Ragans beginning of the year stock basis is $20,000. She has an additional stock purchase (investment) during the year of $10,000. She also loans the corporation $80,000 during the year. Nada S Corporation has beginning AAA of $250,000 and its Form 1120S shows the following information. 5 points

Sales $500,000

Distribution to Ragan $30,000

Dividend Income $15,000

COGS $320,000

Business Fine/Penalty $50,000

Long term capital gain $25,000

Tax Exempt Income $10,000

1. What is Nadas end of the year AAA balance?
2. What is Ragans end of the year stock basis?