Oscar Buys a 10% Interest in Britanny Corporation Paying $92,000

Multiple Choice

Oscar buys a 10% interest in Britanny Corporation paying $92,000 cash on January 1, 2017. During 2017, Britanny Corporation reports a loss of $30,000 and pays cash dividends to shareholders of $10,000. For 2018, Britanny Corporation has a loss of $60,000 and pays cash dividends of $20,000. If Britanny Company is organized as an S Corporation, Oscar's basis in the Britanny Corporation stock at the end of 2018 is:

A) $80,000
B) $86,000
C) $92,000
D) $98,000
E) $104,000