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Problem 5-24 (Algorithmic) (LO. 1, 4) At the start of the current year, Blue...

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Accounting

Problem 5-24 (Algorithmic) (LO. 1, 4) At the start of the current year, Blue Corporation (a calendar year taxpayer) has accumulated E & P of $360,000. Blue's current E & P is $216,000, and at the end of the year, it distributes $720,000 ($360,000 each) to its equal shareholders, Pooja and Jon. Pooja's stock basis is $50,400; Jon's stock basis is $201,600. How is the distribution treated for tax purposes? If an amount is zero, enter "0". Pooja has the following: Dividend income: $ Capital gain: $ Stock basis after distribution: $ Jon has the following: Dividend income: $ Capital gain: $ Stock basis after distribution: $
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At the start of the current year, Blue Corporation (a calendar year taxpayer) has accumulated E&P of $360,000. Blue's current E \& P is $216,000, and at the end of the year, it distributes $720,000 ( $360,000 each) to its equal shareholders, Pooja and Jon, Pooja's stock basis is $50,400; Jon's stock basis is $201,600. How is the distribution treated for tax purposes? If an amount is zero, enter " 0 ". Pooja has the following: Dividend income: $ Capital gain: s Stock basis after distribution: $ Jon has the following: Dividend income: s Copital gain: 4 Stock basis after distribution: 1

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