During 2015,Miles Nutt,the Sole Shareholder of a Calendar Year S

question 143

Multiple Choice

During 2015,Miles Nutt,the sole shareholder of a calendar year S corporation,received a distribution of $16,000.On December 31,2014,his stock basis was $4,000.The corporation earned $11,000 ordinary income during the year.It has no accumulated E & P.Which statement is correct?

• A)Nutt recognizes a $1,000 LTCG.
• B)Nutt's stock basis will be $2,000.
• C)Nutt's ordinary income is $15,000.
• D)Nutt's tax-free return of capital is $11,000.
• E)None of the above.

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Definitions:

Cognitive Behavioral Intervention

A therapeutic approach that seeks to modify negative thoughts and behaviors through the combination of cognitive and behavioral therapies.

"Nonperson" Treatment

A social or interpersonal interaction where an individual is treated as if they are invisible or not worthy of recognition or respect.

Hospital Routine

The daily schedule and procedural operations carried out in a hospital to ensure efficient and effective patient care and management.

Hospital Errors

Mistakes made in hospitals that can lead to patient harm, ranging from medication errors to surgical complications.