Answer:
D) $2,000
Explanation:
Angela's basis on the stocks will be the same as her father's. Since she sold the stocks, her basis will be $8,000, so her recognized gains will = selling price - basis = $10,000 - $8,000 = $2,000
The IRS allows the donee (Angela) to use the doners (Ralph) basis when selling an asset received as a gift in order to determine the realized gain/loss.
Complete question:
On January 1. Year 1. White Co. sold a property with a remaining useful life of 20 years to Blue Co. for $900.000. At the same time. White entered into a contract with Blue for the right to use the property (leaseback) for a period of 6 years. with annual rental payments of 580.000 that approximate the market rental payments for similar properties. On January 1. Year 1. the carrying amount of the property was 5680.000. and its fair value was 5770.000. A discount rate for the lease of 10% is used by both White and Blue. The present value factor for an ordinary annuity at 10% for 6 periods is 4.3553. The lease does not transfer the property to White at the end of the lease term and does not include a purchase option.
What amount of lease expense for the right of use of the property is recognised by White in Year 1 ?
A. $0
B. $130,000
C. $90,000
D. $220,000
Answer:
$90,000 amount of lease expense for the right of use of the property is recognised by White in Year 1
Explanation:
If the leaseback is known as an operating lease, the original transition to the buyer-lessor of the asset should be taken into account as the selling of an asset, given that all the income identification requirements have been fulfilled.
If the deal is of equal value, the lender lease is informed of the gain or loss of sale between the purchase price and the sum of the land that is held. Yet this is not a equal value trade. The property's sale price is higher than its market value. Accordingly, the income or loss on sale seems to be the difference between the equal worth and the value of the land.
Therefore, on 1 January, White records a benefit of $90,000 in revenue of $770,000 (fair value of $680,000 in carrying amounts)
Answer:
once in every 12 months
Explanation:
At a minimum, The administrator furnish a statement a total benefits accrued benefits that are vested under ERISA once in every 12 month.
ERISA stands for Employee retirement Income Security Act,1974. And Under ERISA, Administrator should furnish a statement of total benefits accrued and accrued benefits once in every 12 months
True.Inventory management means the right stock, at the right levels, in the right place, at the right time, and at the right cost as well as price.
When Rachel feels overwhelmed, she commits to spending an initial step of attending to the task for up to a minute in order to increase her likelihood of finishing it. This is called the work breakdown structure or strategy.
<h3>
What is the purpose of work breakdown structure or strategy?</h3>
A work breakdown structure (WBS) is a project management technique that uses a step-by-step method to finish huge projects with many moving parts.
A work breakdown structure (WBS) may integrate scope, cost, and deliverables into a single tool by breaking down the project into smaller components.
This strategy helps to complete tasks faster.
Learn more about work breakdown structure or strategy:
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