Identify factors that increase or decrease the at-risk amount.
What will be an ideal response?
The at-risk amount is increased and decreased by the following factors:
| Effect | Factor | ||
| + | Cash Contributions | ||
| + | Property Contributions (Basis) | ||
| + | Share of Liabilities | ||
| + | Income Items (Net Income, Interest, Dividends, etc.) | ||
| + | Gain Items (Gain on Asset Sales, Capital Gains) | ||
| (-) | Cash Distributions | ||
| (-) | Property Distributions | ||
| (-) | Release of Liabilities | ||
| = | Amount At-Risk | ||
| (-) | Loss Items (i.e., net losses to the extent at-risk) | ||
| = | Ending At-Risk | ||
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