Kristie Is a 30% Partner in the KKM Partnership

question 145

Multiple Choice

Kristie is a 30% partner in the KKM Partnership. During the current year, KKM reported gross receipts of $280,000 and a charitable contribution of $30,000. The partnership paid office expenses of $80,000. In addition, KKM distributed $20,000 each to partners Kaylyn and Megan, and the partnership paid partner Kaylyn $20,000 for administrative services. Kristie reports the following income from KKM during the current tax year:

• A) $54,000 ordinary income? $9,000 charitable contribution.
• B) $60,000 ordinary income? $9,000 charitable contribution.
• C) $36,000 ordinary income.
• D) $54,000 ordinary income.
• E) None of the above is correct.

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Definitions:

Preset Value

A preset value is an established parameter or threshold within a system, device, or application that triggers a specific action or response when reached.

Sequencer Instruction

A programming command used in PLCs to execute a series of stored steps or operations in a sequential manner.

Output Word

A data structure or unit in digital electronics and computing used to represent output values or states.

Sequencer Program

A computer program designed to manage the execution order of other programs or instructions in a sequence.