Salix Associates Is a Partnership with an October 31 Year-End

question 35

Multiple Choice

Salix Associates is a partnership with an October 31 year-end.For the fiscal year ended October 31,2017,Salix Associates reported ordinary income of $100,000,after deducting guaranteed payments.Max,a calendar year taxpayer,is a 30 percent partner in the partnership and received $2,000 monthly as a guaranteed payment for the calendar year 2016,and $2,100 monthly for the calendar year 2017.What is the total income from the partnership that Max should report on his 2017 individual income tax return?

• A)$30,000
• B)$54,200
• C)$55,000
• D)$55,200
• E)None of the above

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Definitions:

Content Theories

Psychological theories that examine the specific factors that motivate individuals, focusing on the content of motivation such as needs, desires, and goals.

Motivation

The psychological forces that determine the direction of a person's behavior, influencing their level of effort and persistence.

Behavioural Framework

refers to models and theories that explain or predict human actions based on individual behaviors and environmental factors.

Compensation

The total of all rewards provided by an employer to employees in return for their services, including salary, bonuses, and benefits.