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lutik1710 [3]
3 years ago
15

On August 31, 2018, Harvey and Margaret, who file a joint return and live in Charleston, South Carolina, sell their personal res

idence, which they have owned and lived in for 10 years. The realized gain of $292,000 was excluded under § 121. They purchased another personal residence in Charleston for $480,000 on September 1, 2018. However, in 2019, Harvey's employer transfers him to Houston, Texas. They sell their Charleston home on February 28, 2019, and purchase a new home in Houston. The realized gain on the second sale is $180,000. Harvey and Margaret's recognized gain on the second sale is $_________
Business
2 answers:
SVEN [57.7K]3 years ago
8 0

Answer:

$55,000

Explanation:

Since Harvey and Margaret are married, their § 121 exclusion = $500,000 since they meet all the ownership requirements. The gain resulting from the sale of their Charleston home was fully excluded ($292,000).

Since the sale of the second home is within the two year window period, then the recognized gain will be:

realized gain ($180,000) - § 121 exclusion ($500,000 x 6/24 months = $125,000) = $55,000

Nana76 [90]3 years ago
5 0

Answer:

55,000

Explanation:

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during step 3 of the decision making process you are identifying options it's helpful to approach this step as a ________. brain
Vika [28.1K]

Answer:

Prioritized list

Explanation:

Step 3 of the decision-making process is to identify alternatives or options. Therefore, finding many options so that the individual cannot make any wrong decision during the time of choosing the right option. If the person identifies the various options, he or she can choose the most optimal list. In that case, testing, or brainstorming activity cannot help to proceed with alternatives. Prioritizing the list will be helpful to approach in 3rd step to find the best possible options. Therefore, option D is the answer.

5 0
3 years ago
Read 2 more answers
Assume that the risk-free rate of interest is 5% and the expected rate of return on the market is 17%. A share of stock sells fo
Ugo [173]

Answer:

New price (P1) = $72.88

Explanation:

Given:

Risk-free rate of interest (Rf) = 5%

Expected rate of market return (Rm) = 17%

Old price (P0) = $64

Dividend (D) = $2

Beta (β) = 1.0

New price (P1) = ?

Computation of expected rate on return:

Expected rate on return (r) = Rf + β(Rm - Rf)

Expected rate on return (r) = 5% + 1.0(17% - 5%)

Expected rate on return (r) = 5% + 1.0(12%)

Expected rate on return (r) = 5% + 12%

Expected rate on return (r) = 17%

Computation:

Expected rate on return (r) = (D + P1 - P0) / P0

17% = ($2 + P1 - $64) / $64

0.17 = (2 + P1 - $64) / $64

10.88 = P1 - $62

New price (P1) = $72.88

7 0
3 years ago
___________are funds that the bank keeps on hand that are not loaned out or invested in bonds.
skad [1K]

Answer:

Reserves is your answer...

Explanation:

Hope this helps you!!!

3 0
2 years ago
Which of the following is NOT one of the three basic economic questions?
ololo11 [35]
The answer s "How to Produce it".
This is not one of the three basic economic questions.
Mostly what they usually asks is what to produce base on the needs of the consumers, where to produce it in where people really are needing it and who will consume what is produced, they may be rich people, etc.
4 0
3 years ago
When reconciling or balancing your checking account, which of the following correctly describes the math?
Rainbow [258]

Answer:

B) add deposits, subtract withdrawals and fees

Explanation:

A checking account is a deposit and saving account held in a financial institution, mostly a bank. The user or owner of the checking account is allowed to deposit and withdraw money as frequently as they deem necessary without incurring access fees.

Money held in a checking account is accessible using different ways, including debit cards, ATMs, and over the counter. When reconciling a checking account, one needs to subtract the sum of "money out" from "money in. "

"Money in" comprises mostly of deposits.  "Money out" is the total of withdraws plus other bank charges levied to the account.

8 0
3 years ago
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