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Galina-37 [17]
3 years ago
5

Perry Partnership distributed cash of $15,000 and a parcel of land in a liquidating distribution to Gupta, a partner. The land h

ad a fair market value of $50,000 and an inside basis of $52,000 at the time of the distribution. Gupta's outside basis in Perry just prior to the distribution was $70,000. What is Gupta's resulting basis in the land?
a. $50,000

b. $55,000

c. $53,000

d. $52,000
Business
1 answer:
Pani-rosa [81]3 years ago
4 0

Answer:

option (b) $55,000

Explanation:

Data provided in the question:

Cash distributed = $15,000

Fair market value of the land = $50,000

Inside basis at the time of the distribution = $52,000

Gupta's outside basis = $70,000

Now,

Gupta's Outside basis = Cash + Basis in land

or

$70,000 = $15,000 + Basis in land

or

Basis in land = $70,000 - $15,000

or

Basis in land = $55,000

Hence,

The answer is option (b) $55,000

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Mobile phones have evolved from devices intended to place and receive phone calls into handheld multimedia communications device
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Answer: creeping featurism

       

Explanation: Creeping featurism is a slang used for the term feature creep. It refers to the problem faced by the consumers due to continuous addition of features in an existing product. These addition make the product more complex and hard to use for the users.

In the given case, some customers of mobile phone have a belief that the new features added to the phones have made it complex and less reliable.

     Thus, we can conclude that the given case is an example of creeping featurism.

7 0
3 years ago
A post-closing trial balance should be prepared
yanalaym [24]

Answer:

<h2>Post-Closing trial balance is usually prepared after the closing entries are posted to the ledger account.Hence,the correct answer is the third option or after closing entries are posted to the ledger accounts.</h2>

Explanation:

In Accounting,the main objective of preparing a post-closing trial balance is to ensure the completion and closure of all the temporary accounts and the equality between all the debit and credit entries have been consistently established once the closing entry has been done.Once the closing entries have been put into journal and finally posted in ledger,a detailed account or list of all the individual accounts along with their respective balances is prepared which is basically known as Post Closing Trial Balance Account.It includes all the unbalanced accounts from the original trial balance or the accounts which are not balanced based on debt and credit entries,at the end of the accounting or reporting year.Therefore,post-trial balance basically ensures that all the accounts entered in the original trial balance are zero balance or the debit and credit entries of all the individual accounts in trial balance are balanced or equal.

7 0
3 years ago
In the workplace today, more emphasis is being put on mental health. But sometimes, employees don't want to be seen as being una
KonstantinChe [14]

Answer:

12346f

Explanation:

vhhfguuy5

8 0
2 years ago
Capital gains that are realized upon the sale of a municipal security are:________
baherus [9]

Answer:

A. I and III

Explanation:

Capital gains on the municipal securities are taxable at the Federal, State and Local Level. Only the interest income from the municipal securities will be exempted from the Federal income tax.

8 0
3 years ago
Sheffield Company reports the following operating results for the month of August: sales $315,000 (units 5,000); variable costs
frosja888 [35]

Answer:

1. the net income if selling price increased by 10% would be = $59,700

Net income increased by $31,500.

Explanation:

Given,

Sales = $315,000

Variable costs = $216,000

Fixed costs = $70,800

No. of units = 5,000

                                   Sheffield Company

             Income Statement (Contribution Margin Format)

Particulars                                                $

Sales                                                    315,000

Less: Variable expenses                  <u> (216,000)</u>

Contribution Margin                             99,000

Less: Fixed costs                         <u>        (70,800)</u>

Net Income                                          28,200

Since the selling price increased by 10% and no change in variable costs and volume, therefore, we can get -

<em>Sales = $315,000 x (1 + 0.10) = $346,500</em>

In this case, the net income will be as follows:

Sales                          = $346,500

<u>Less: Variable Costs =  (216,000)</u>

Contribution Margin  =   130,500

<u>Less: Fixed Costs      =   (70,800)</u>

Net Income                =   59,700

5 0
3 years ago
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