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Oreo corporation has accumulated e& p of $8,000 at the beginning of the current year. during the year (a nonleap year), the corporation incurs a current e& p deficit of$18,250. the corporation distributes $11,000 on march 20th to morris, its sole shareholder, who has a $9,000 basis for his stock. if the exact loss cannot be determined as of the date of distribution, the treatment of the distribution will bea.$11,000 return of capital. b.$4,100 dividend and a $6,900 capital gain. c.$8,000 dividend and a $3,000 return of capital. d.$4,100 dividend and a $6,900 tax free return of capita
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Oreo corporation has accumulated e& p of $8,000 at the beginning of the current year. during the...
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