Longhorn Company Reports Current E&P of $100,000 in 20X3 and Accumulated

question 13

Multiple Choice

Longhorn Company reports current E&P of $100,000 in 20X3 and accumulated E&P at the beginning of the year of negative $200,000. Longhorn distributed $300,000 to its sole shareholder on January 1, 20X3. The shareholder's tax basis in his stock in Longhorn is $100,000. How is the distribution treated by the shareholder in 20X3?

• A) $300,000 dividend.
• B) $100,000 dividend, $100,000 tax-free return of basis, and $100,000 capital gain.
• C) $100,000 dividend and $200,000 tax-free return of basis.
• D) $0 dividend, $100,000 tax-free return of basis, and $200,000 capital gain.

Grasp the role of social media in cultural diffusion and its implications for cultural change.

Recognize different perspectives on cultural phenomena such as structural functionalism, conflict theory, and symbolic interactionism.

Distinguish between ideal culture and real culture through societal examples.

Analyze the role of technology in cultural change and expansion.

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Definitions:

Mistrusting Attitude

A disposition of doubtfulness or skepticism towards the intentions or integrity of others.

Observe Behavior

The act of carefully watching and analyzing actions and reactions in a systematic manner.

Socialization Process

The lifelong process through which individuals acquire the norms, values, behaviors, and social skills appropriate to their society.

Recognition Rewards

Systems or programs implemented to acknowledge and reward employees' achievements and contributions.