Tip corporation is a calendar-year s corporation with 10000


Question - Tip Corporation is a calendar-year S corporation with 10,000 shares outstanding, 2,000 of which are owned by Will and 8,000 of which are owned by Nancy. During the year Tip has ordinary business income of $540,000 and a long term capital gain of $230,000 from a transaction that occurred on April 3. On 11/1 Nancy sells Yolanda 3000 of her shares. How would the income be allocated to each shareholder?

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Accounting Basics: Tip corporation is a calendar-year s corporation with 10000
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