At the Beginning of the Current Year, K's Basis in Her

question 11

Multiple Choice

At the beginning of the current year, K's basis in her partnership interest was $35,000.At the end of the year, K received a K-1 from the partnership that showed the following: Increase in share of partnership liabilities $\quad$$\$ 8,700$
Cash withdrawal $\quad$$\quad$ 20,000
Partnership taxable income $\quad$ 13,500
Dividend income $\quad$$\quad 5,000$
Short-term capital loss $\quad$$\quad 1,400$
Charitable contribution $\quad$$\quad 500$
Special allocation of depreciation $\quad$$\quad$ 1,800 Based on these facts, compute K's basis in her partnership interest at the beginning of the next year.

• A)$31,200
• B)$42,200
• C)$31,700
• D)$38,500
• E)$39,900

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Definitions:

Primary Somatic Sensory Cortex

The region of the cerebral cortex that receives and processes sensory information from the body.

Sensory Receptors

Specialized cells or nerve endings that respond to changes in the environment by converting them into electrical signals for the nervous system.

Muscles

Tissue in the body that contracts to create movement or force.

Position

A specific location or arrangement in space that an object or entity occupies at any given time.