Purple Corporation Has Accumulated E & P of $100,000 on January

question 88

Multiple Choice

Purple Corporation has accumulated E & P of $100,000 on January 1, 2018. In 2018, Purple has current E & P of $130,000 (before any distribution) . On December 31, 2018, the corporation distributes $250,000 to its sole shareholder, Cindy (an individual) . Purple Corporation's E & P as of January 1, 2019 is:

• A) $0.
• B) ($20,000).
• C) $100,000.
• D) $130,000.
• E) None of the above.

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Definitions:

Conscientiousness

A personality trait characterized by thoroughness, diligence, and the desire to do one’s work well.

CEO

Chief Executive Officer, the highest-ranking person in a company or other institution, ultimately responsible for making managerial decisions.

Top Management Team Conscientiousness

The collective attention to detail, diligence, and organizational abilities of a company's top management team.

Organizational Performance

The ability of an organization to achieve its goals and objectives, often evaluated based on criteria such as profitability, efficiency, and satisfaction among stakeholders.