Return to question Required information Problem 18-45 (LO 18-2) (Algo) (The following information applies to the questions displayed below.] Volunteer Corporation reported taxable income of $450,000 from operations this year. The company paid federal income taxes of $94,500 on this taxable income. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land's fair market value was $81,000 and its tax and E&P basis to Volunteer was $65,500. Rocky assumed a mortgage attached to the land of $16,200. The company had accumulated E&P of $864,000 at the beginning of the year. Problem 18-45 Part-a (Algo) a. Compute Volunteer's taxable income and federal income tax. Answer is complete but not entirely correct. Taxable income $450,000 Federal income tax $ 545,500 Required information Problem 18-45 (LO 18-2) (Algo) [The following information applies to the questions displayed below.) Volunteer Corporation reported taxable income of $450,000 from operations this year. The company paid federal income taxes of $94,500 on this taxable income. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land's fair market value was $81,000 and its tax and E&P basis to Volunteer was $65,500. Rocky assumed a mortgage attached to the land of $16,200. The company had accumulated E&P of $864,000 at the beginning of the year. Problem 18-45 Part-b (Algo) b. Compute Volunteer's current E&P. Current E&P S Help Save & Exit Submit Check my work Required information Problem 18-45 (LO 18-2) (Algo) [The following information applies to the questions displayed below] Volunteer Corporation reported taxable income of $450,000 from operations this year. The company paid federal income taxes of $94,500 on this taxable income. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land's fair market value was $81,000 and its tax and E&P basis to Volunteer was $65,500. Rocky assumed a mortgage attached to the land of $16,200. The company had accumulated E&P of $864,000 at the beginning of the year. Problem 18-45 Part-c (Algo) c. Compute Volunteer's accumulated E&P at the beginning of next year. Accumulated E&P at the beginning of next year Check my work Required information Problem 18-45 (LO 18-2) (Algo) [The following information applies to the questions displayed below.] Volunteer Corporation reported taxable income of $450,000 from operations this year. The company paid federal income taxes of $94,500 on this taxable income. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land's fair market value was $81,000 and its tax and E&P basis to Volunteer was $65,500. Rocky assumed a mortgage attached to the land of $16,200. The company had accumulated E&P of $864,000 at the beginning of the year. Problem 18-45 Part-d (Algo) d. What amount of dividend income does Rocky report as a result of the distribution? Dividend income Help Save & Exit Submit Check my work Required information Problem 18-45 (LO 18-2) (Algo) [The following information applies to the questions displayed below] Volunteer Corporation reported taxable income of $450,000 from operations this year. The company paid federal income taxes of $94,500 on this taxable income. During the year, the company made a distribution of land to its sole shareholder, Rocky Topp. The land's fair market value was $81,000 and its tax and E&P basis to Volunteer was $65,500. Rocky assumed a mortgage attached to the land of $16,200. The company had accumulated E&P of $864,000 at the beginning of the year. Problem 18-45 Part-e (Algo) e. What is Rocky's income tax basis in the land received from Volunteer? Income tax basis