What is mikes basis for his partnership interest on january


Jay and Mike are equal partners in the LAN partnership, which was formed on January 2, 2010 when each contributed $10,000 cash. Jay received a guaranteed payments during the year of $28,000. After payment of the guaranteed payments, the partnership operations resulted in a $20,000 profit. The LAN partnership had $,000 in outstanding liabilities on December 31, 2010. Assuming there were no distributions to the partners, what total amount of income will Jaay report for 2010 as a result of his partnership interest? what is Mikes basis for his partnership interest on January 1, 2011?

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Accounting Basics: What is mikes basis for his partnership interest on january
Reference No:- TGS046284

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