|. (TCOs 2 & 11) Tyler has a 30% interest in the XY partnership. In the current year, the partnership has
sales of $2,000,000, cost of goods sold of $1,300,000, and $300,000 in operating expenses. Tyler withdrew $150,000 from the
partnership during the year, but his partner did not withdraw anything. (Points : 5)
Tyler must report $120,000 gross income from the partnership for the year.
The partnership is taxable on $400,000 for the year, and Tyler must include $120,000 in gross income.
Tyler must report $150,000 gross income from the partnership for the year.
Tyler is not required to recognize any income from the partnership for the year.
None of the above