Dolphin Corp has been an S corp. since its inception in 2021. In 2023, Dolphin reported the following:

 Revenue $555,000

Municipal interest income     900

Section 1231   4,400

Cost of goods sold (155,000)

Advertising ( 12,000)

MACRS depreciation ( 30,000)

Section 179 expense ( 15,000)

Rent expense ( 24,000)

Charitable contribution (  3,000)

 AJ is a 60% shareholder and receives a distribution of $30,000 on 12/31/23. His beginning outside basis is $40,000. What is AJ's ending outside basis?

Answer rating: 100% (QA)

To calculate AJs ending outside basis you need to ... View the full answer