Question: Problem 1934 {Algorithmic} (LO. 1, 4] At the start of the current year, Blue Corporation (a calendar year taxpayer] has accumulated E St P of

Problem 1934 {Algorithmic} (LO. 1, 4] At the start of the current year, Blue Corporation (a calendar year taxpayer] has accumulated E St P of $260,000. Blue's current E El. P is $156,000, and at the end of the year, it distributes $520,000 ($260,000 each} to its equal shareholders, Pooja and Jon. Pooja's stock basis is $36,400; Jon's stock basis is $145,600. How is the distribution treated for tax purposes? If an amount is zero, enter "".0 Pooja has the following: Dividend income: E Capital gain: a: Stock basis after distribution: 5: Jon has the following: Dividend income: E Capital gain: 5: Stock basis after distribution: 5

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