Assignment Choice #2: Partnership Income Allocation Amy and

Assignment Choice #2: Partnership Income Allocation Amy and Mitchell are equal partners in the accrual basis AM Partnership.At the beginning of the current year, Amy’s capital account has a balance of $300,000, and the partnership has recourse debts of $200,000 payable to unrelated parties. Assume that all partnership recourse debt is shared equally between the partners. The following information about AM’s operations for the current year is obtained from the partnership’s records.Ordinary income$400,000Interest income$4,000Long-term capital loss$6,000Short-term capital gain$12,000Charitable contribution$4,000Cash distribution to Amy$20,000Assume that year-end partnership debt payable to unrelated parties is $140,000. If all transactions are reflected in her beginning capital and basis in the same manner, what is Amy’s basis in the partnership interest:At the beginning of the year?At the end of the year?What income, gains, losses, and deductions does Amy report on her income tax return?Based on the information provided, what other calculations is she required to make?Requirements:Clearly identify the requirements being addressed. Show all calculations within the cells of an Excel spreadsheet. This means that you must use formulas and links so that your thought process can be examined. Make good use of comments to convey your thought process as well. No hard coding of solutions is permitted. Submit a single MS Excel file for grading.Review the grading rubric to understand how you will be graded on this assignment. Reach out to your instructor if you have questions about the assignment.