Jonas is a 60% owner of Ard, an S corporation. At the beginning of the year, his stock basis is zero. Jonas' basis in a $92,400 loan made Ard and evidenced by Ard's note has been reduced to $0 by prior losses. During the year, Jonas' net share of Ard's taxable income is $46,200. At the end of the year, Ard makes a $69,300 cash distribution to Jonas. After these transactions, what is Jonas' basis in his stock, and what is his basis in the debt? What is Jonas' recognized capital gain? If an amount is zero, enter "0". Jonas has a basis of $ a capital gain ✓ of $ for his stock and a basis of $ for the debt. In addition, Jonas recognizes

Jonas is a 60% owner of Ard, an S corporation. At the beginning of the year, his stock basis is zero. Jonas' basis in a $92,400 loan made Ard and evidenced by Ard's note has been reduced to $0 by prior losses. During the year, Jonas' net share of Ard's taxable income is $46,200. At the end of the year, Ard makes a $69,300 cash distribution to Jonas. After these transactions, what is Jonas' basis in his stock, and what is his basis in the debt? What is Jonas' recognized capital gain? If an amount is zero, enter "0". Jonas has a basis of $ a capital gain ✓ of $ for his stock and a basis of $ for the debt. In addition, Jonas recognizes

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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