You Are Given the Following Facts About a Solely Owned

question 96

Multiple Choice

You are given the following facts about a solely owned S corporation. What is the shareholder's ending stock basis? $$\begin{array}{l}\begin{array} { l r } \text { Increase in AAA } & \$ 31,000 \\\text { Increase in OAA } & 6,300 \\\text { Payroll tax penalty } & 2,140 \\\text { Beginning stock basis } & 39,800 \\\text { Stock purchases } & 22,000 \\\text { Tax-exempt life insurance proceeds } & 4,800 \\\text { Life insurance premiums paid } & 2,700\end{array}\\\text { (nondeductible) }\end{array}$$

• A) $61,800
• B) $68,100
• C) $99,100
• D) $100,100

---

Definitions:

Cultural Intelligence

The capability to function effectively across various cultural contexts, including different national, ethnic, or organizational cultures.

Knowledge

Information, understanding, or skills acquired through experience or education; the theoretical or practical understanding of a subject.

Performance

Performance is the action or process of carrying out or accomplishing tasks, often measured against preset standards of accuracy, completeness, cost, and speed.

Expatriates

Individuals who live and work outside their native country, often for business or professional reasons.