Khaki Company Is a Subchapter S Corporation

question 107

Multiple Choice

Khaki Company is a Subchapter S corporation.It properly reported net income of $100,000 for financial statement purposes.It had charitable contributions of $5,000 and dividend income of $10,000 from a large domestic publicly traded company.What is the ordinary business income of Khaki Company that will be reported to its shareholders on Schedule K-1?

• A)$93,000.
• B)$95,000.
• C)$90,000.
• D)$100,000.

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Definitions:

Network Sampling

A technique used to sample from a network, where participants are selected based on their connections or relationships within the network.

Stratified Sampling

A method of sampling that involves dividing a population into subgroups and randomly selecting samples from each of these groups.

Convenience Sampling

A sampling technique where participants are selected based on their easy availability and proximity to the researcher, potentially introducing bias.

Quota Sampling

Sampling that attempts to replicate in a sample the features that the researcher thinks are important in the population.