Answer:
A. An investing activity.
Explanation:
In the statements of cash flows for a given period end, the difference between the opening and closing cash balances for a period is recognized in 3 buckets of activities. These are operating, investing and financing activities.
When an asset is sold for cash, the proceed received from the sale is recognized as an inflow of cash in the section of investing activities in the cash flow statements.
Answer:
C. $20,000
Explanation:
Given the data below,
Property transfered = $200,000
Basis = $60,000
Return = 82℅
Fair market value = $180,000
Long term fair market value = $20,000
In the above scenario, we can safely say that Eileen realized gain of $140,000 on the transfer of property, which is due to;
Property worth $200,000 - basis $60,000 = $140,000.
However, because recognized gain cannot exceed the lesser of realized gain ($140,000) or the boot received ($20,000), the recognized gain is therefore $20,000
Answer:
B. Traditional work group
Explanation:
Traditional work group has to do with a group made up of two or more people who comes together to achieve a common goal. People or rather employees belonging to the traditional work group has no control over task given, report to a manager who's responsible for ranking their performances, lack direct responsibility and also they execute task. From the agreements Ginny had with the company, Ginny belongs to the traditional work group.
