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Spartan Corporation redeemed 25 percent of its shares for $3,300 on July 1 of this year, in a transaction that qualified as an exchange under §302(a). Spartan's accumulated E&P at the beginning of the year was $3,300. Its current E&P is $16,400. Spartan made dividend distributions of $1,200 on June 1 and $5,700 on August 31.
Determine the beginning balance in Spartan's accumulated E&P at the beginning of the next year. See Rev. Rul. 74-338, 1974-2 C.B. 101 and Rev. Rul. 74-339, 1974-2 C.B. 103 for help in making this calculation. (Round your intermediate calculations to the nearest whole dollar amount.)
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This operating system is most popular with graphic designers and those who work in multimedia.
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