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yan [13]
3 years ago
10

A client invests $100,000 in a tax shelter as a limited partner, giving him a 10% interest in the program. However, the general

partners cannot meet the program's expenses. A mortgage balance of $3 million remains, and the property of the program is liquidated for $1 million. How much does the investor get back from his original investment
Business
1 answer:
sergeinik [125]3 years ago
3 0

Answer: 0

Explanation:

From the question, we are informed that a client invests $100,000 in a tax shelter as a limited partner, giving him a 10% interest in the program but that, the general partners cannot meet the program's expenses.

We are further told that a mortgage balance of $3 million remains, and the property of the program is liquidated for $1 million. The investor get back nothing from his original investment

This is because a limited partner will not get return of his investment. The creditors of the partnership have to be paid first in a failed program.

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Gard Inc. has compiled the following information related to its five products. Costs of disposal are estimated to be 10% of sell
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Answer:

Item           Inventory at the lower-of-cost-or-market

 #1                                    $214.50

 #2                                  $240.00

 #3                                  $266.50

 #4                                   $315.00

 #5                                  $422.50

Explanation:

Note: This question is not complete. The complete question is therefore provided before answering the question. See attached pdf file for the complete question.

Also note: See the attached excel file for the determination of the value of inventory by applying the lower-of-cost-or-market rule.

From the attached excel file, we have:

Item           Inventory at the lower-of-cost-or-market

 #1                                    $214.50

 #2                                  $240.00

 #3                                  $266.50

 #4                                   $315.00

 #5                                  $422.50

Download xlsx
<span class="sg-text sg-text--link sg-text--bold sg-text--link-disabled sg-text--blue-dark"> xlsx </span>
<span class="sg-text sg-text--link sg-text--bold sg-text--link-disabled sg-text--blue-dark"> pdf </span>
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On the contrary, when the economy is weak, or in recession, people earn less, and more of them are unemployed. Unemployment benefits therefore increase accordingly.

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