Vogel, Inc., an S corporation for five years, distributes a tract of land held as an investment to Jamari, its majority shareholder. The land

was purchased for $$187,400$ ten years ago and is currently worth $$468,500.$

If an amount is zero, enter, $"0".$

a$.$ As a result of the distribution, what is Vogel's recognized capital gain? How much is reported as a distribution to shareholders?

Vogel recognizes

b$.$ What is the net effect of the distribution on Vogel's AAA?

There is a net $c_{,}$ of $$,$ on Vogel's AAA.

c$.$ Assume instead that the land had been purchased for $$468,500$ and was currently worth $$187,400.$ How much would Vogel recognize

as a loss? What would be the net effect on Vogel's AAA? What would be Jamari's basis in the land?

Vogel recognizes a loss of $$

and the net effect on Vogel's AAA is

$$ of $

$.$ Jamari

would take a $

basis in the land.