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Salsk061 [2.6K]
3 years ago
15

Marvin received Form 1099-C reporting canceled credit debt of $7,000. His total liabilities immediately before the cancellation

were $43,000. The FMV of assets immediately before the cancellation were $38,000. What amount of canceled debt will Marvin report on his return?

Business
2 answers:
serg [7]3 years ago
6 0

Answer:

$2000 of canceled debt that Marvin must report on his return

Explanation:

Please see attachment

MariettaO [177]3 years ago
3 0

Answer:

$2.000

Explanation:

First we calculate the debt incurred as the result of the cancellation by deducting liabilities with asset value as follows:

43,000 - 38,000 = $5,000

Under the insolvency exception rule Marvin can exclude the $5,000 cancelled debt from income.

7,000 - 5,000 = $2,000

Hence, Marvin must report the addition of $2,000 aside from his income on his returns.

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3 years ago
Prepare Job-Order Cost Sheets, Predetermined Overhead Rate, Ending Balance of WIP, Finished Goods, and COGS At the beginning of
vova2212 [387]

Answer and Explanation:

1. The computation of overhead rate based on direct labor cost is shown below:-

Overhead rate = Overhead applied × 100 ÷ Direct labor cost

= 888 × 100 ÷ 1,200

= 74%

2. The Preparation of job-order cost sheet for the four jobs is shown below:

Particulars                Job 86        Job 87        Job 88        Job 89

Beginning balance $6,888       $6,820

Direct materials       $3,000      $7,000         $2,100          $1,500

Direct labor              $800          $6,000        $900            $500

Applied overhead  

is 74% of direct labor $592           $4,440       $666            $370

Total                          $11,280       $24,260      $3,666      $2,370

3. The computation of ending balances of Work in Process and Finished Goods is shown below:-

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= $13,650

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Cost of goods sold is

= Job 87

= $24,260

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You're having trouble coping with stressful life events, so you begin seeing a therapist. The therapist does not focus on your c
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Answer:

You're having trouble coping with stressful life events, so you begin seeing a therapist. The therapist does not focus on your childhood experiences or on any learned behaviors, but rather she emphasizes the importance of your need for love and acceptance. Her approach is BEST described as reflecting  humanistic psychology.

Explanation:

Humanistic psychology is focused on each individual's potential and stressed the importance of growth and self-actualization.

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3 years ago
The quantity theory of money is a theory of how A) the money supply is determined. B) interest rates are determined. C) the nomi
meriva

Answer:

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Dividing both sides by velocity gives,

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I hope my answer helps.

All the best

5 0
3 years ago
What journal should a company uses to capture cash transactions?
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</span>
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