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Starling Corporation Has Accumulated E & P of $60,000 on January

question 169

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Starling Corporation has accumulated E & P of $60,000 on January 1, 2018. In 2018, Starling Corporation had an operating loss of $80,000. It distributed cash of $40,000 to Zoe, its sole shareholder, on December 31, 2018. Starling Corporation's balance in its E & P account as of January 1, 2019, is:

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