Question 7 1 pts Dried Fruit Corp. has had a valid S Corp election in effect at all times since its incorporation. The Dried Fruit Corp. stock is owned one-third by Raisin and two-thirds by Prune. All shareholders are US resident citizen individuals. At the beginning of the current year, Raisin's basis in his shares was $93,000 and Prune's basis in her shares was $31,000. During the current year, Dried Fruit Corp. earned $558,000 of net income from operations. Raisin's share was $186,000; Prune's share was $372,000. On July 1st, Dried Fruit Corp. distributed $248,000 to Raisin and $496,000 to Prune. How much gain does Raisin recognize as a result of this transaction? $31,000 $0 $62,000 $93,000 Citrus Corporation is a calendar year S corporation with the following current year information: Operating loss $(1,860,000) Liabilities: Notes payable, Big Apple Bank 465,000 Notes payable, Grapefruit (individual) 310,000 On January 1 Grapefruit bought 60% of Citrus Corporation for $697,500. She then loaned Citrus Corporation $310,000 (the amount above under liabilities). How much of the operating loss may Grapefruit deduct currently? Assume the excess business loss limitation does not apply. $883,500 $1,240,000 $1,007,500 $1,162,500