Samuel Is the Managing General Partner of STU, in Which

question 103

Multiple Choice

Samuel is the managing general partner of STU, in which he owns a 25% interest. For the year, STU reported ordinary income of $400,000 (after deducting all guaranteed payments) . In addition, the LLC reported interest income of $12,000. Samuel received a guaranteed payment of $120,000 for services he performed for STU. How much income from self-employment did Samuel earn from STU?

• A)$100,000
• B)$120,000
• C)$220,000
• D)$223,000
• E)None of the above

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Definitions:

Functional Explanation

An approach that explains social phenomena in terms of the functions they serve for a society or an organism.

Prestige

Social esteem, regard, or respect accorded by members of a society to individuals, jobs, or items based on perceived quality or merit.

Motivations

The reasons or forces that drive individuals to take certain actions or behave in specific ways.

Structural Functionalism

A sociological perspective that interprets society as a structure with interrelated parts designed to meet the biological and social needs of individuals that make up that society.