Barb and Chuck Each Own One-Half of the Stock of Wren

question 32

Multiple Choice

Barb and Chuck each own one-half of the stock of Wren, Inc., a C corporation. Each shareholder has a stock basis of $175,000. Wren has accumulated E & P of $300,000. Wren's taxable income for the current year is $100,000, and it distributes $75,000 to each shareholder. Barb's stock basis at the end of the year is:

• A)$0.
• B)$100,000.
• C)$150,000.
• D)$175,000.
• E)None of the above.

---

Definitions:

Insulin

A hormone secreted by the pancreas to control the levels of fats, proteins, and carbohydrates in the body by reducing the level of glucose in the bloodstream.

Glucagons

A hormone produced by the pancreas that raises blood glucose levels, an important counter-regulatory hormone in the blood glucose regulation system.

Emotion-Focused Coping

refers to strategies aimed at managing and reducing the emotional distress associated with stressful situations.

Mother's Illness

Mother's Illness often refers to the impact, either psychological or situational, that the illness of a mother can have on her family dynamics, children's development, and caregiving roles within the family.