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1 year ago

describe the two eligibility requirements to qualify for deducting losses generated from real estate activities.

1 answer:

7 0

Two exceptions to the special passive activity rule for real estate activities provide the whole or partial offset of real estate rental losses against active or portfolio income, even when the business is otherwise regarded as a passive activity.

<h3>Which rules regarding passive activities for rental revenue are exceptions?</h3>

You have a stake in the yearly commerce or economic activities.
During the current tax year or at least 2 of the 5 tax years prior, the rental property was utilized primarily in that trade or company.

<h3>Only real estate is subject to passive loss restrictions, right?</h3>

Generally speaking, the following actions can result in passive losses (and income): leasing of equipment. Rental property (though there are some exceptions) a farm or a sole proprietorship in which the taxpayer has no substantial interest.

<h3>How can passive income be balanced?</h3>

Selling off your rental properties will help you make up for your passive losses. You don't actually have to sell the property that's causing the losses to balance them effectively. Any passive income will be offset by losses.

Learn more about special passive activity rule: brainly.com/question/28137310

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19. Regarding alternate backup sites, which of the following is a low-cost site?

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Answer:

The correct option is C

Explanation:

Cold site is one of the kind of the location of the business, which is usually worn or used for the proceeding of disaster as a backup while in the disruptive operational in the normal site of the business.

In short, it is stated as an office for the sites which needed or required backup because it have the required equipment, which will resume or direct the operations. But there is problem that it does not happen always or regularly.

So, the one which is a cost site that is very low is the cold site as it does not support the requirements of the quicker recovery.

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3 years ago

Suppose the chicago cubs could rent out wrigley field (the field the players play on) to local youth leagues for $11,000 per mon

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<span>implicit cost

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3 years ago

Read 2 more answers

Consumers are particularly price-responsive when:a. it is difficult to substitute across suppliers and prices are high. b. they

s344n2d4d5 [400]

Answer:

The correct answer is the option C: there are many substitute goods available for a product, and they have a long time horizon to adjust their consumption.

Explanation:

To begin with, the concept known as <em>''price-responsive'' </em>in the marketing field and in the business world refers to the ability by the consumers to adjust their consumption behavior regarding the prices that are being charged by the company in order to control the use of the good itself and therefore to avoid paying high prices. Moreover, it is understood that in this theory scheme the consumers are adaptative to the services price changes that the company tends to do.

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3 years ago

Balance sheet and income statement data indicate the following: Bonds payable, 6% (issued 2000, due 2020) $1,200,000 Preferred 8

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Answer:

The correct option is A,5.72 times

Explanation:

The number of times that interest charges gives a sense of how financial stable is in its ability to pay interest on bonds as at when due.It is key consideration for prospective bondholders when assessing whether to buy bonds in a particular company

Number of times interest charges earned=net income before interest/interest

net income before interest charges=net income+interest charges

net income is $340,000

interest charges=$1,200,000*6%=$72,000

net income before interest charges=$340,000+$72,000=$412,000

number of times interest was earned=$412,000/$72,000=5.72

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3 years ago

Typical cash flows from investing activities include each of the following except: Group of answer choices Proceeds from collect

Alinara [238K]

Answer:

Proceeds from collecting the principal amount of accounts receivable arising from customer sales.

Explanation:

Cash flow can be defined as the net amount of cash and cash- equivalents that is flowing into (received) and out (given) of a business. There are three components of the cash flow;

1. Operating cash flow: all cash generated from the business activities of an organization.

2. Financing cash flow: all payments made by an organization and profits from issuance of debts and equity.

3. Investing cash flow: costs associated with purchasing of capital assets and investments of cash resources in other businesses.

This ultimately implies that, cash flow statement, also known as the statement of cash flows, contains financial information about operating, financial and investing activities.

Generally, investing activities comprises of purchasing physical assets, investing in securities and the sale of assets or securities associated with the company.

Hence, typical cash flows from investing activities include each of the following;

I. Payments to purchase property, plant and equipment or other productive assets (excluding inventory).

II. Payments to acquire held-to maturity securities of other entities, except cash equivalents.

III. Proceeds from the sale of equipment.

IV. Payments to buy intangible assets.

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2 years ago