Orange Corporation Has a Deficit in Accumulated E & P

question 67

Multiple Choice

Orange Corporation has a deficit in accumulated E & P of $600,000 and has current E & P of $450,000.On July 1, Orange distributes $500,000 to its sole shareholder, Morris, who has a basis in his stock of $105,000.As a result of the distribution, Morris has:

• A)Dividend income of $450,000 and reduces his stock basis to $55,000.
• B)Dividend income of $105,000 and reduces his stock basis to zero.
• C)Dividend income of $450,000 and no adjustment to stock basis.
• D)No dividend income, reduces his stock basis to zero, and has a capital gain of $500,000.
• E)None of the above.

Understand the importance and process of product presentation and closing sales.

Recognize non-financial and financial rewards of a sales career.

Grasp the significance of personal attributes and circumstances on a sales career choice.

Understand the various roles and responsibilities of sales personnel in different contexts.

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Definitions:

Workforce Flexibility

The ability of an organization's workforce to adapt to changes and challenges, including varying schedules, tasks, and work environments.

Redesigning Jobs

The process of modifying job roles and responsibilities to improve efficiency, employee satisfaction, or adapt to organizational changes.

Long-Term Productivity

The sustained ability of an individual, company, or economy to generate goods and services efficiently over a long period.

Total Compensation Valuation

The comprehensive assessment of the total monetary and non-monetary pay provided to an employee, which includes wages, bonuses, benefits, and any other form of compensation.