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larisa [96]
3 years ago
6

Clampett, Inc. has been an S corporation since its inception. On July 15, 2019, Clampett, Inc. distributed $50,000 to J. D. His

basis in his Clampett, Inc. stock on January 1, 2019, was $30,000. For 2019, J. D. was allocated $10,000 of ordinary income from Clampett, Inc. and no separately stated items. What is the amount of income J. D. recognizes related to Clampett, Inc. in 2019?
Business
1 answer:
topjm [15]3 years ago
5 0

Answer:

$20,000

Explanation:

Distribution basis = $50,000

Stock basis = $30,000

Ordinary income = $10,000

To compute capital gain tax,

Capital gain = Distribution basis -Stock basis - Ordinary income

= $50,000 - $30,000 - $10,000

= $10,000

To compute J.D income related to Clampett;

= Ordinary income + Capital gain

= $10,000 + $10,000

= $20,000

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7 0
3 years ago
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Meginnis Corporation's relevant range of activity is 3,000 units to 7,000 units. When it produces and sells 5,000 units, its ave
Ivan

Answer:

$53, 700

Explanation:

The question is not complete:

The completion is here:

6000 Units were produced and  determine the total amount of direct manufacturing cost incurred.

Step 1: Calculate the Direct Manufacturing Cost

Direct manufacturing cost is the cost of those input raw materials that are directly related to the product as well as the units being produced.

Direct Manufacturing Cost = (The Direct Material/ Unit + The Direct Labour/ unit) x Units Produced

= ($5,20 + $3.75) x 6000 units

= $8.95 x 6000 units

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6 0
3 years ago
A student remarks:
inessss [21]

Answer and explanation:

<em>The position of the student is correct</em>. Financial intermediaries are entities participating in a financial transaction that function as a bridge. A financial intermediary helps lenders contact creditors and buyers meet with sellers. In fact, the parties on either side of the transaction do not need to meet at all, thanks to the financial intermediary. Eventually, depositors earn a profit by the interest of the money stored in the financial intermediary.  

The situation explained above is not the same when talking about insurances. Insureds pay a monthly fee for having a policy that provides them with coverage according to the insurance. If the insurance was never used, the money paid by the insured is not given back.

7 0
3 years ago
Jake earned $15,000 and paid $1,500 of income tax, while jill earned $40,000 and paid $3,000 of income tax. the structure of the
maksim [4K]
The structure of the tax their income is subject to is regressive based on the tax information on the question above. First, you have to find the tax percentage for each of the people which are 10% for Jake and 7.5% for Jill. The tax percentage decreases in relation to the increase in income and this is the character of a regressive tax.
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3 years ago
When an organization assigns a new employee a mentor and takes an employee out to lunch to meet other members of the organizatio
irina [24]

Answer:

Connection.

Explanation:

An employee can be defined as an individual who is employed by an employer of labor to perform specific tasks, duties or functions in an organization.

Basically, an employee is saddled with the responsibility of providing specific services to the organization or company where he is currently employed while being paid a certain amount of money hourly, daily, weekly, or monthly depending on the contractual agreement between the two parties (employer and employee).

Generally, when a new employee working for an organization is assigned a mentor and given the opportunity to go out on a lunch to meet other members working in the organization during their first week on the job, this would most strongly be an example of connection.

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