Yee Manages Huang Real Estate, a Partnership in Which She

question 113

Multiple Choice

Yee manages Huang real estate, a partnership in which she is also a partner. She receives 40% of all partnership income before guaranteed payments, but no less than $80,000 per year. In the current year, the partnership reports $100,000 in ordinary income. What is Yee's distributive share and her guaranteed payment?

---

Definitions:

Crepuscular

Pertaining to animals that are active primarily during twilight, i.e., at dawn and dusk.

Nocturnal

Describing organisms that are active primarily during the night and sleep during the day.

Diurnal

Describing organisms active during the day and resting at night; also pertains to daily cycles of light and darkness.

Biological Clocks

Biological clocks are internal mechanisms in organisms that regulate cycles of activity and rest, including sleep-wake cycles and hormonal changes, in accordance with environmental changes.