Note: use the following fact pattern for the next two questions.   Alberto owns 25 percent of Sycamore, an S corporation. At the beginning of the year, Alberto’s basis in his stock was $30,000, his share of Sycamore’s accumulated adjustments account (AAA) was $25,000, and his share of Sycamore’s earnings and profits from prior C corporation years (accumulated E&P) was $15,000. Then, during the year, Alberto was allocated $12,500 of ordinary income and Sycamore made a nonliquidating distribution to Alberto of $50,000.   How much of the distribution is taxable to Alberto as a dividend?

Nicole and Paula each own 50 percent of Magnolia, an S corporation. Magnolia reported the following revenues and expenses:   Sales revenue – $720,000 Cost of goods sold – ($200,000) Depreciation expense (MACRS) – ($12,000) Sec. 179 expense – ($44,000) Long-term capital gains – $8,000 Qualified dividends – $5,000 Nontaxable interest income – $3,000 Salaries to owners – ($120,000) Employee wages (excluding salaries to owners) – ($50,000)   In addition, Nicole and Paula each received distributions of $10,000 from Magnolia.   Which of the following items is not a separately stated item allocated to Nicole?

Alberto owns 25 percent of Sycamore, an S corporation. At the beginning of the year, Alberto’s basis in his stock was $30,000, his share of Sycamore’s accumulated adjustments account (AAA) was $25,000, and his share of Sycamore’s earnings and profits from prior C corporation years (accumulated E&P) was $15,000. Then, during the year, Alberto was allocated $12,500 of ordinary income and Sycamore made a nonliquidating distribution to Alberto of $50,000.   What is Alberto’s basis in his Sycamore stock after the distribution?

Alex is a partner with a 30 percent capital and profits interest in Maple, a limited partnership, when he sells his entire interest on January 1 for $110,000. At the time of the sale, Alex’s basis in the partnership is $60,000.   If Maple has $30,000 of unrealized receivables at the time of the sale, what is the amount and character of Alex’s gain or loss on the sale of his interest?

The tax basis balance sheet for Boxelder, a general partnership on the cash method of accounting, includes the following assets and liabilities on January 1 of this year:     Fair value Adjusted basis Assets:     Cash $180,000 $180,000 Accounts receivable $60,000 $0 Land $90,000 $120,000 Total $330,000 $300,000       Liabilities:     Mortgage $24,000 $24,000 Total $24,000 $24,000   Wanda, a partner with a 33.33 percent capital and profits interest, sells her entire partnership interest to Valerie for $102,000 cash plus the assumption of her share of Boxelder’s liabilities.   What is Valerie’s beginning basis in her 33.33 percent capital and interest in Boxelder?

Dodder is a plant that lacks chloroplasts and chlorophyll.  Is it capable of fixing CO2?

Which of the following is a feature of both chloroplasts and mitochondria?

Which of the following makes the greatest contribution to the dry biomass of a plant?

Grammar / Punctuation / Usage Directions:  If the following sentence is written correctly, mark “A” for true.  If it is not written correctly, mark “B” for false.     ======================================================================================   I drive a 1962 Chevy Nova, it is light brown with lots of chrome.  

In the Hardy-Weinberg equation, the term “pq” in the 2pq part of the equation is because