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Business, 22.04.2021 22:50, dabizgaming7575
Zelda owns a 60 percent general interest in YZ Partnership. At the beginning of 2015, the adjusted basis in her YZ interest was $95,000. For 2015, YZ generated a $210,000 business loss, earned $14,600 dividend and interest income on its investments, and recognized a $6,200 capital gain. YZ made no distributions to its partners and had no debt. In 2016, YZ generated $7,000 ordinary business income and $18,000 dividend and interest income. The partnership made no distributions. At the end of the year, YZ had $21,000 debt.
a. Compute Zeldaâs adjusted basis in her YZ interest before loss deduction in 2016.
b. Compute Zeldaâs adjusted basis in her YZ interest at the end of 2016.
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Zelda owns a 60 percent general interest in YZ Partnership. At the beginning of 2015, the adjusted b...
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