During the calendar year, the Lance Corporation made a $40,000 cash distribution to its sole shareholder. Lance Corporation's current year earnings and profits (as of the close of the year and without reduction for distributions during the year) is $25,000. Accumulated earnings and profits is $10,000. What amount of dividend should be reported on Form 1099-DIV issued to the shareholder for the year?

Answer rating: 100% (QA)

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