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Comprehensive Problem 09-81 (LO 09-1, LO 09-2, LO 09-3, LO 09-4, LO 09-5, LO 09-6) (Algo)

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[The following information applies to the questions displayed below.] The TimpRiders LP has operated a motorcycle dealership for a number of years. Lance is the limited partner, Francesca is the general partner, and they share capital and profits equally. Francesca works full time managing the partnership. Both the partnership and the partners report on a calendar-year basis. At the start of the current year, Lance and Francesca had bases of $11,400 and $4,600, respectively, and the partnership did not have any liabilities. During the current year, the partnership reported the following results from operations:

Net sales	$ 699,000
Cost of goods sold	520,000
Operating expenses	192,000
Short-term capital loss	1,800
Tax-exempt interest	3,600
1231 gain	7,600

On the last day of the year, the partnership distributed $4,600 each to Lance and Francesca.

rev: 04_18_2022_QC_CS-302988

Comprehensive Problem 09-81 Part 2 (Algo)

d-1. Using the information generated in answers parts a through c, prepare TimpRiderss page 1 and Schedule K to be included with its Form 1065 for the current year.