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AlexFokin [52]
4 years ago
11

Al owned all of the outstanding stock of ABC Corporation. Al transferred a building, cash, and IBM stock to ABC Corporation. The

adjusted basis and the fair market value of the assets transferred to ABC Corporation, and the amount remaining on the mortgage on the building transferred, were as follows. A building was transferred by Al to ABC Corporation that had an adjusted basis to Al of $20,000, a fair market value of $50,000, and a mortgage of $40,000, that was assumed by the corporation, cash in the amount of $10,000 was transferred, and IBM stock with an adjusted basis to Al of $15,000 and a fair market value of $12,000. In exchange for the assets transferred to ABC Corporation, Al received additional stock of ABC Corporation. How much gain did Al recognize as a result of this transaction
Business
1 answer:
Xelga [282]4 years ago
5 0

Answer: $10,000

Explanation:

I know this question looks like a lot but it isn't. It is simply asking how much gain was made in the cash that was exchanged.

Now we see that the company acquired the building for $50,000 but acquired the mortgage on it of $40,000 and hence paid off the balance of $10,000 to Al.

So the gain was,

Cash in the amount transferred = (fair market value - mortgage)

= $50,000) - $40,000

= $10,000

$10,000 is the gain that Al should recognize as a result of this transaction.

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Valarie owns a company that makes specialized components for the auto industry. Her most important customer is a company that is
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Answer:

Need to accommodate the growth of key customer is the correct answer.

Explanation:

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3 years ago
Bachelor's degrees are awarded by
Misha Larkins [42]
A bachelor's degree (from Middle Latin baccalaureus) or baccalaureate (from Modern Latin baccalaureatus) is an undergraduate academic degree awarded by colleges and universities upon completion of a course of study lasting three to seven years (depending on institution and academic discipline).
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3 years ago
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Suppose that a young couple has just had their first baby and they wish to ensure that enough money will be available to pay for
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Answer:

$256,571

Explanation:

College Graduation fee for four years in the present value

PV = $20,000 x 4 = $80,000

As historically the fee has risen by 6% we need to find future value when the baby will be 20 years old by using future value formula

Let's say

FV = Future value

PV = Present value

n   = number of years

i     = Interest

Workings

FV = PV x ((1+growth rate)^n)

FV = $80,000 x ( (1+0.06)^20)

FV = $256,571

As the bank interest rate is 8% the saving need to be deposited annualy can be calculated as

Savings = (FV x i) /  ((1+i)^n)-1)

Savings = ($256,571 x 0.08) / ((1+0.08)^20)-1)

Savings = 20,525.68 / 3.66

Savings = $5,608

7 0
3 years ago
a product not on the commerce control list or whose export control classification number does not call for an export license is
Radda [10]

A product not on the Commerce Control List, or whose Export Control Classification Number does not call for an export license, is classified as (E) none of the above.

<h3>What is Commerce Control List?</h3>
  • The Commerce Control List (CCL) is a list of categories and product groupings used to evaluate if a U.S. Department of Commerce export license is required for U.S. exports.
  • The CCL is organized into 10 major categories, each of which is subdivided into five product groupings.
  • If your item is under the jurisdiction of the United States Department of Commerce but is not included on the CCL, it is labeled as EAR99.

As it is given in the description itself, if your item is under the jurisdiction of the United States Department of Commerce but is not included on the CCL, it is labeled as EAR99.

Therefore, a product not on the Commerce Control List, or whose Export Control Classification Number does not call for an export license, is classified as (E) none of the above.

Know more about Commerce here:

brainly.com/question/14227335

#SPJ4

The correct answer is given below:

A product not on the Commerce Control List, or whose Export Control Classification Number does not call for an export license, is classified as

a. NLR.

b. SED.

c. BIS.

d. UCC.

e.  none of the above.

6 0
1 year ago
A self-employed psychologist treats clients in an office in his own house. What must the psychologist do with his house in
mr_godi [17]

Answer:

A self-employed psychologist treats clients in an office in his own house. What must the psychologist do with his house in  order to best serve clients?keep the house clean and private

Explanation:

Psychology is a branch of medicine that deals with mental health services and counselling to help assess and improve a patient's mental health state. In the recent past, mental health has become a major concern since it is very important in our social and personal life. Mental health affects how we feel, think and react to various situations in the environment. More people are taking mental health very serious as more people seek the treatments and services of psychologists. A psychologist is one who studies the mental health of people and offers treatment and counsel on how the patient can improve mentally.

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