Determine the effects of these events on the AAA, stock basis, and AEP
LO.6, 8, 9 Mary is a shareholder in a calendar year S corporation. At the beginning of the year, her stock basis is $10,000, her share of the AAA is $2,000, and her share of corporate
AEP is $6,000. She receives a $6,000 distribution, and her share of S corporation items includes a $2,000 long-term capital gain and a $10,000 ordinary loss. Determine the effects of these events on the AAA, stock basis, and AEP.