Business & Finance Assignment | Custom Assignment Help

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Solution: $55,000 of the distribution reduces E&P to $0, and $5,000 is a reduction in the basis of Harleys stock. C:4-23.Tomika Corporation has current and accumulated earnings and profits of $0. Tomika distributes $10,000 to its sole shareholder, Alana. What are Tomikas earnings and profits after the distribution? A. $0. B. ($10,000). C. $10,000. D. None of the above.

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