Aztec Company Reports Current E&P of $200,000 in 20X3 Anda

question 94

Multiple Choice

Aztec Company reports current E&P of $200,000 in 20X3 anda deficit of ($100,000) in accumulated E&P at the beginning of the year. Aztec distributed $300,000 to its sole shareholder on January 1, 20X3. How much of the distribution is treated as a dividend in 20X3?

• A)$300,000
• B)$200,000
• C)$100,000
• D)$0

---

Definitions:

Social Security

A government program that provides financial support to individuals during retirement, disability, or upon the death of a primary wage earner.

General Tax Revenues

The total income received by the government from taxes paid by individuals and businesses.

TANF

Temporary Assistance for Needy Families, a governmental program that provides financial assistance to low-income families with dependent children, aiming to encourage work, reduce dependency, and promote family stability.

Aid for Families

Financial support provided by the government or organizations to help families meet their basic needs, such as housing, food, and healthcare.