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aleksklad [387]
3 years ago
12

Clampett, Inc. has been an S corporation since its inception. On July 15, 2019, Clampett, Inc. distributed $40,500 to J. D. His

basis in his Clampett, Inc. stock on January 1, 2019, was $35,000. For 2019, J. D. was allocated $12,000 of ordinary income from Clampett, Inc. and no separately stated items. How much capital gain does J. D. recognize related to Clampett, Inc. in 2019?a. $40,500.b. $12,000.c. None of the choices are correct.d. $52,500.e. $24,000.
Business
1 answer:
AlexFokin [52]3 years ago
4 0

Answer:

c. None of the choices are correct

Explanation:

Calculation of capital gain  

Basis of stock                                       $35,000

Allocated ordinary income               $12,000

Total basis                                       $47,000

Amount distributed                       $40,500

Therefore, Since basis is more than distribution capital gain, The capital gain is $0.

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You find a zero coupon bond with a par value of $10,000 and 13 years to maturity. If the yield to maturity on this bond is 4.7 p
Svetllana [295]

Answer:

Future Value= $10,000

N=13*2=26

YTM=4.7/2=2.35

PMT=0

PV=?

Enter these in a financial calculator

$5,466.59

Explanation:

3 0
3 years ago
an example of how product characteristics influence transporation is that if a product is high density
Andreas93 [3]

a. It is heavy for the space it takes up, and will maximize the weight allowed when the trailer is not very full by volume

b. The truckload shipment will be very heavy, and you will have to pay more

c. It will move slowly because it is heavy

d. All of the above

e. Only a and c

answer:

d. All of the above

Explanation:

given the answer options above to this question, at a particular freight volume, only a particular weight can be allowed. for option a,A high product density and a truck whose volume is not full might cause a problem because the product is going to be more than the required weight for that volume. At a given weight, a particular amount is charged. for option b, More weight means more payment will be required to be made. Since the weight will be more then the payment to be made will be more. Option c is easily understandable. Hence, the options a,b,c are correct. <em><u>Therefore correct answer is d </u></em><em><u>whic</u></em><em><u>h</u></em><em><u> is</u></em><em><u> All of the above.</u></em>

6 0
3 years ago
Network externalities are important because Choose one:
Nastasia [14]

Answer:

(C) as the network size grows, the services become cheaper.

Explanation:

Network externalities relate to the economies of scale, it is basically the relation of demand with the quantum.

As when the production increases then due to increase in number of units, the cost of producing is less. Accordingly if the supply is more then price is less for the consumers. This clearly relates to services also.

Thus, when there is a growth in network size then the cost of such service or goods tend to decline as on per service basis.

6 0
3 years ago
During its first year of operations, Mack’s Plumbing Supply Co. had sales of $650,000, wrote off $10,400 of accounts as uncollec
White raven [17]

Answer:

  • If the allowance method had been used, net income would have been $81,900.
  • With 1.75% of sales, if the write-off above had been recorded against the allowance account, it would have been in debit, so the bad debt expense would be $10,400 + $11,375 = $21,775. Otherwise, bad debt expense would be $11,375. The required journals would be a debit to bad debt expense and credit to allowance for doubtful accounts.

Explanation:

The following journals would have been recorded for write-off of the accounts receivables:

Debit Bad debt expense                  $10,400

Credit Accounts receivable              $10,400

<em>(To write-off accounts receivable)</em>

This journal would have negatively affected the net income by reducing it. If it was recorded against the allowance for doubtful accounts, net income would have increased by $10,400 ($71,500 + $10,400).

1.75% of sales is $11,375; so, if the write-off above had been recorded against the allowance account, it would have been in debit, so the bad debt expense would be $10,400 + $11,375 = $21,775. Otherwise, bad debt expense would be $11,375. The required journals would be a debit to bad debt expense and credit to allowance for doubtful accounts.

8 0
3 years ago
Suppose you believe that Johnson Company's stock price is going to increase from its current level of $22.50 sometime during the
Burka [1]

Answer:

idk------------ xxzzzzzxxxxnfnfbdbfbf

3 0
3 years ago
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