Edward sold four capital assets in the current year: Purchase Date 03/15/Year 7 04/05/Year 8 06/08/Year 9 09/15/Year 10 Sale Date 08/14/Year 10 $4,700 10/31/Year 10 $6,500 02/14/Year 10 $4,400 12/28/Year 10 $10,300 AGI $ Cost Sales Proceeds $7,800 $3,000 $4,700 $6,800 if Edward's AGI before the capital transactions was $120,400, what is Edward's AGI after the capital transactions?

Edward sold four capital assets in the current year: Purchase Date 03/15/Year 7 04/05/Year 8 06/08/Year 9 09/15/Year 10 Sale Date 08/14/Year 10 $4,700 10/31/Year 10 $6,500 02/14/Year 10 $4,400 12/28/Year 10 $10,300 AGI $ Cost Sales Proceeds $7,800 $3,000 $4,700 $6,800 if Edward's AGI before the capital transactions was $120,400, what is Edward's AGI after the capital transactions?

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter8: Depreciation And Sale Of Business Property

Section: Chapter Questions

Problem 18P

See similar textbooks

Similar questions

11 For 100.000 $ land is purchased with a $20, 000 down payment and the execution of an $80, 000 promissory note. How does this purchase affect the accounting equation? a) O assets increase $100, 000; liabilities decrease $100, 000 b) O assets increase $80, 000; liabilities decrease $20, 000 c)O assets increase $80, 000; owner's equity increases $80, 000 d) O assets increase $80, 000; liabilities increase $80, 000 O Boş bırak KÖnceki 11/20 Sonraki> Карat VSinavı Bitir Ce Herhangi bir sey ara
Way Corporation disposed of the following tangible personal property assets in the current year. Date Acquired 5/12/2018 3/23/2019 Original Basis $ 87,500 104,500 46,000 303,800 9/17/2020 10/11/2021 10/11/2022 106,000 Asset Furniture (7-year) Machinery (7-year) Delivery truck (5-year). Date Sold 7/15/2022 3/15/2022 3/13/2022 8/11/2022 12/15/2022 Depreciation deduction Convention HY MQ HY MQ Machinery (7-year); Computer (5-year) *Used 100 percent for business. Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2022 depreciation deduction (ignore 5179 expense and bonus depreciation for this problem). (Use MACRS Table 1, Table 2. and Exhibit 10-6.) Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.
Parent purchases the net assets of Sub for P3,168,000. What is the total assets of Parent after the combination? A. 7,254,000 B. 9,181,600 C. 8,113,600 D. 7,354,000
k 1 nces Way Corporation disposed of the following tangible personal property assets in the current year. Date Acquired 5/12/19 Original Basis 3/23/20 $ 100,000 117,000 56,000 9/17/21 10/11/22 316,800 10/11/23 116,000 Asset Furniture (7-year) Machinery (7-year) Delivery truck* (5-ear) Machinery (7-year) Computer (5-year) Date Sold 7/15/23 3/15/23 3/13/23 8/11/23 12/15/23 Depreciation deduction Convention HY MQ HY MQ HY Used 100 percent for business. Assume that the delivery truck is not a luxury auto. Calculate Way Corporation's 2023 depreciation deduction (ignore $179 expense and bonus depreciation for this problem). (Use MACRS Table 1 Table 2, and Exhibit 10-6.) ***** Note: Round your intermediate dollar calculations and final answer to the nearest whole dollar amount.
ing of year $50,000 $0 $20,000 $... In each of the following independent situations, indicate taxable distribution and Accumulated Beginning of year $50,000 $0 $20,000 $50,000 -$20,000 Current Year End E&P Distribution $0 $40,000 $40,000 $80,000 $10,000 $40,000 -$10,000 $60,000 $60,000 $60,000 E Taxable Return of Amount Capital
A SE company has on its books for its proved property: P/P- tangible assets $50,000 Well and E&F $220,000 Accumulated DD&A $32,000 If the entire proved property is sold for $220,000, what will be any gain or loss? Accouinting
Question list O Question 1 O Question 2 O Question 3 O Question 4 Show Transcribed Text Question list Question 1 Question 2 Question 3 O Question 4 Show Transcribed Text O Question list O Question 1 Question 2 O Question 3 O Question 4 O Question 5 K You are provided with the following information related to class 8 assets for the current year: • Undepreciated Capital Cost (UCC) Beginning Balance: $74,000 • Cost of additions: $8,000 • Dispositions (i.e. reduction for disposals): $21,000 K The class 8 rate is 20%. Using only this information, what is the maximum capital cost allowance (CCA) deduction for the current year for class 8? Choose the correct answer. O A. $15,600 O B. $10,600 OC. $12,200 O D. $11,400 K ACB Company has the following information related to class 10 assets for the current year: Beginning Balance: $152,000 cost of additions: $20,000 Dispositions, proceeds: $40,000 (original cost = $70,000) C The class 10 rate is 30%. Using only this information, what is the…
C-Corporation A acquires C-Corporation B in a taxable stock acquisition. In the process of completing the transaction, A incurs $27 million of transaction costs, consisting of the following: 15 $5 million pre-brightline due diligence $10 million post-brightline due diligence $12 million inherently facilitative costs How much can A deduct and how much must A capitalize? a. Deduct $5 million; capitalize $22 million b. Deduct $15 million; capitalize $12 million c. Deduct all; capitalize none d. Deduct none; capitalize all
Answer the following question: Chase Stokes Company purchases land and decides to use the revaluation model to account for land. The company has a December 31 year end and follows ASPE. May 1, Yr 1 Acquisition $960,000 Dec 31, Yr 1 Fair Value $960,000 Dec 31, Yr 2 Fair Value $1,300,000 Dec 31, Yr 3 Fair Value $1,300,000 Dec 31, Yr 4 Fair Value $1,000,000 Dec 31, Yr 5 Fair Value $860,000 Dec 31, Yr 6 Fair Value $1,000,000 Provide all the entries using the revaluation method. please give answer with everything
Item Nos. 19 to 21 are based on the following information: Partners Bruce, Charlie, and Demi share profits and losses in the ratio of 5:3:2, respectively. At the end of a very unprofitable year, they decided to liquidate the firm. The partners' capital account balances at this time were as follows: 000.000 9 Bruce- -- P 22,000 Charlie --- 24,900 Demi- 15,000 11 SC s blo2 97 The liabilities accumulated to P 30,000, including a loan of P 10,000 from Bruce. The cash balance was P 6,000. All the partners are personally solvent. The partnership plans to sell the assets on installment basis. ich did
18 Chaz Corporation has taxable income in 2023 of $1,313,150 for purposes of computing the $179 expense and acquired the following assets during the year: 0.31 points Asset office furniture Computer equipment Delivery truck Qualified real property (MACRS, 15 year, 150% DB) Total September 12 Placed in Service Basis $ 826,000 976,000 February 10 August 21 September 30 eBook Print 114,000 1,545,000 $ 3,461,000 What is the maximum total depreciation deduction that Chaz may deduct in 2023? (Use MACRS Table 1 Table 2. Table 3, Table 4, and Table 5.) Note: Round your intermediate calculations and final answer to the nearest whole dollar amount. References Maximum total depreciation deduction Check my work Activate Windows Go to Settings to activate Windows Graw
Question 8.1.25 The following information relates to the sale of a piece of land in the current taxation year: Adjusted cost base of land: $275,000 Total proceeds of disposition: $500,000 In the current year, the seller received $200,000 of the proceeds of disposition in cash and a note payable for the remainder ($300,000). What is the maximum ITA40(1)(a)(iii) capital gains reserve that can be claimed by the seller in the current year. OA. $135,000 O B. $0 OC. $225,000 OD. $180,000