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X Inc. has beginning accumulated E&P deficit of ($10,000) and current E&P for the year of $5,000. The corporation makes a cash distribution of $10,000

X Inc. has beginning accumulated E&P deficit of ($10,000) and current E&P for the year of $5,000. The corporation makes a cash distribution of $10,000 to the sole shareholder. The shareholders stock basis before the distribution was $6,000.

find the following:

1. amount of taxable dividend

2. non-taxable return of capital

3. recognized capital gain

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