1answer.
Ask question
Login Signup
Ask question
All categories
  • English
  • Mathematics
  • Social Studies
  • Business
  • History
  • Health
  • Geography
  • Biology
  • Physics
  • Chemistry
  • Computers and Technology
  • Arts
  • World Languages
  • Spanish
  • French
  • German
  • Advanced Placement (AP)
  • SAT
  • Medicine
  • Law
  • Engineering
insens350 [35]
2 years ago
9

Determine the adjusted basis of each of the following assets:

Business
1 answer:
Andru [333]2 years ago
8 0

Answer and Explanation:

The computation is shown below:

                  75%                      25%             100%

Particulars       Business Use Personal Use    Total

Initial Basis    $22,500         $7,500            $30,000

Less: Depreciation -$4,209              0                   -$4,209

Adjusted Basis      $18,291           $7,500             $25,791

b    

Particulars                     Building        Land            Land Improvements

Original Cost               $250,000       $80,000  

Remodeling cost        $8,000  

Parking lot and sidewalks                             $12,000

Depreciation                -$70,620                           -$1,000

Adjusted basis         $187,380 $80,000           $110,000

We simply classify the cost to each type of asset which is shown above

You might be interested in
A pharmacy (due to increased competition from a neighboring supermarket) has now added an exclusive line of cosmetics, and has e
Sati [7]

Answer:

The correct answer is: scrambled merchandising.

Explanation:

Scrambled merchandising refers to companies offering new products that are not necessarily related to their original business. This strategy is used when firms intend to boost their sales profits and is beneficial because the organization's store obtains the treat of one-stop shops. However, the lack of experience selling the new products could affect the business in the beginning.

7 0
3 years ago
Ayayai Corporation has outstanding 400,000 shares of $10 par value common stock. The corporation declares a 100% stock dividend
maxonik [38]

Answer:

Explanation:

The journal entries are shown below:

On Declaration date

Retained Earnings A/c Dr $4,000,000         (400,000 shares × $10)

        To Common Stock Dividend Distributable A/c $4,000,000        

(Being dividend is declared)

On distribution date:

Common Stock Dividend Distributable A/c Dr $4,000,000    

           To Common Stock A/c $4,000,000    

(Being the dividend is distributed)

8 0
2 years ago
What is the role of the Federal Reserve in the U.S. economy?
lys-0071 [83]

Answer: The correct answer:

A. Managing monetary policy.

5 0
1 year ago
YOUR ASSIGNMENT: 1. You are a single person with no dependents, earning a salary of $47,810. You have no adjustments to your inc
joja [24]

Answer:

GHVTUFFTUFT

Explanation:

7 0
3 years ago
On January 1, 2017, Culver Company issued 10-year, $2,140,000 face value, 6% bonds, at par. Each $1,000 bond is convertible into
Dvinal [7]

Answer:

a) diluted earnings per share = 0

Explanation:

Diluted earnings per share (DEPS) is a recalculation of the basic EPS. The difference between DEPS and EPS is, EPS represents the current position of earnings per share. No changes in number shares and/or earnings in the future are incorporated in the basic EPS.

Whereas DEPS is a representation of  not only the current position of earnings and shares but also includes the commitments an entity has already made whose occurrence may result in an increase/decrease in the amount of earnings and/or number of shares. For example, in the question Culver Company has issued 10-year convertible bonds which right now have no impact on basic EPS but if in the future these bond holders exercise their right of conversion, this would result in an increase in number of ordinary shares hence decreasing/diluting the basic EPS. The entities use DEPS to show shareholders the impact of such commitments on the basic EPS to improve their decision making.

So in 2017 none of the bonds were converted therefore no diluted earnings per share is calculated in 2017.

If all of the bonds were converted in 2017 the DEPS would have been calculated as follows:

The formula for calculating DEPS is as follows;

DEPS = (Net income + interest savings) ÷ number of ordinary shares + increase in ordinary shares as a result of conversion.

Tax savings as a result of conversion=$128400 ($2140000×6%). Because if bond holders convert into ordinary shares then Culver company will not have to pay them interest and hence the amount of interest is saved.

Increase in ordinary shares upon conversion= 29960 ($2140000÷$1000=2140 bonds. Each bond is convertible into 14 shares therefore, 2140×14=29960).

Now Lets calculate DEPS as follows;

DEPS = ($296000+$128400) ÷ 91000+29960

DEPS =$424400÷120960

DEPS = $3.5

5 0
3 years ago
Other questions:
  • Fresnas Inc. is a furniture manufacturing company. It has taken the initiative of incorporating social responsibility as one of
    15·1 answer
  • As the only store to design and sell curtains in the suburb of Oakland, the merchandise sold by Plush Parade is overpriced. Noti
    5·1 answer
  • What do i put for salary desired on a job application? should i just ask for minimum wage? go a little higher? shoot really high
    11·1 answer
  • What steps should to you take to prioritize your workload?
    9·2 answers
  • The Greenbriar is an all-equity firm with a total market value of $584,000 and 22,800 shares of stock outstanding. Management is
    5·1 answer
  • Why should you investigate the regular interest rate of the card along with the introductory offer?
    9·1 answer
  • The following information is for Hulk Gyms' first year of operations. Amounts are in millions of dollars. The enacted tax rate i
    5·1 answer
  • What is insurance??????
    13·1 answer
  • When you seek to define an issue, you should try to frame it in positive terms.
    13·1 answer
  • Byron Corp is considering the purchase of a new piece of equipment. The cost savings from the equipment would result in an annua
    14·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!