RZNY, LP., is a calendar-year, cash-basis limited partnership. Marc Liu, an individual, owns a 55% interest in RZNY as a general partner. During Year 1, RZNY had the following results: Sales - $10,000,000
Cost of goods sold - $7,000,000
General and administrative costs - $1,500,000
Guaranteed payment to Marc Liu - $112,000
Dividend income - $100,000 $30,000 of dividend income is qualified
Interest income - $200,000 $20,000 of interest is municipal bond interest
Distributions to Marc Liu - $70,000
Proceeds - $30,000 for the sale of securities acquired February 1, Year 1, for $20,000 and sold on June 30, Year 1
Proceeds - $30,000 for the sale of an asset used in the course of business, which was acquired 3 years prior for $50,000 and was sold on September 1, Year 1
Adjusted tax basis on September 1, Year 1, was $35,000
Complete the following components of Marc Liu's Schedule K-1, Partner's Share of Income, Deductions, Credits, etc., for Year 1 by clicking in the cells and entering the requested values.
Tax component Amount
1 Ordinary business income (loss)
2 Guaranteed payment
3 Taxable interest income
4 Ordinary dividends
5 Tax-exempt income
6 Net short-term capital gain (loss)
7 Net long-term capital gain (loss)
8 Net Section 1231 gain (loss)