Nash and Ford are partners who share profits and losses equally. For the current tax year, the partnership had book income of $70,000 which included the following deductions: Guaranteed payments to partners: Nash $35,000 Ford 25,000 Charitable contributions 5,000 What amount should be reported as ordinary income on the partnership return for the current tax year? Group of answer choices $75,000 $85,000 $130,000 $135,000 None of the above
Nash and Ford are partners who share profits and losses equally. For the current tax year, the partnership had book income of $70,000 which included the following deductions: Guaranteed payments to partners: Nash $35,000 Ford 25,000 Charitable contributions 5,000 What amount should be reported as ordinary income on the partnership return for the current tax year? Group of answer choices $75,000 $85,000 $130,000 $135,000 None of the above
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Nash and Ford are partners who share profits and losses equally. For the current tax year, the partnership had book income of $70,000 which included the following deductions:
Guaranteed payments to partners:
Nash $35,000
Ford 25,000
Charitable contributions 5,000
What amount should be reported as ordinary income on the partnership return for the current tax year?
Guaranteed payments to partners:
Nash $35,000
Ford 25,000
Charitable contributions 5,000
What amount should be reported as ordinary income on the partnership return for the current tax year?
Group of answer choices
$75,000
$85,000
$130,000
$135,000
None of the above
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