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
Gwar [14]
3 years ago
13

Leker exchanged real property that was used exclusively for business and had an adjusted tax basis of $20,000 for new real prope

rty. The new real property had a fair market value of $10,000, and Leker also received $3,000 in cash. What was Leker tax basis in the acquired real property?
Business
1 answer:
goldfiish [28.3K]3 years ago
6 0

Answer:

$17,000

Explanation:

Leker's Old Property Adjusted Tax Basis = $20,000

To calculate the new basis, subtract the $3000 recieved in cash from the new property.

New Tax Basis; $20,000-$3,000= $17,000

The transaction of Leker to exchange a real property for another led to a loss: Meaning a Property of $20,000 was exchanged for a property of $10,000+ $3,000 (cash)= $13,000

The Loss on the transaction= $20,000- $13,000= $7,000

Due to the loss no gain is recognized and the $3000 will reduce the basis for his new asset.

You might be interested in
What is the value of an annuity due at the end of 15 years of quarterly deposits of $2,000.00 with terms of 8 percent compounded
yan [13]
2,000×((((1+0.08÷4)^(4×15)
−1)÷(0.08÷4))×(1+0.08÷4))
=232,665.14
7 0
4 years ago
The following data were provided by Rider, Inc, which produces a single product:
Elis [28]

Answer:

The correct option is B, higher than the net operating income under variable costing

Explanation:

In calculating the net operating profit under variable costing, the fixed manufacturing cost of $15,000 is deducted as a whole in arriving at net profit.

However, under absorption costing method, only the goods sold are charged with their own portion of fixed manufacturing cost totaling $15,000

Fixed under    variable costing method=$15,000

fixed cost under absorption costing method=$15,000/5,000*4500=$13500

Since fixed cost is lower under absorption costing method, net profit tends to be higher.

7 0
3 years ago
A marketer is keeping track of the revenue generated by his campaign. He wants to
lakkis [162]

Answer:

C). A revenue-focused bidding strategy.

Explanation:

As per the details given in the question, <u>'a revenue-focused bidding strategy' </u>will most likely assist the marketer in upkeeping his needs as his<u> key focus is to discern a particular return on his investment that he made for the monthly ad spend made by him</u>. This automated strategy of bidding will allow him to keep track of the revenue and escalate the return. Thus, <u>option C</u> is the correct answer.

8 0
3 years ago
Derek just received a bonus and wishes to set aside a portion of it in order to save for a 10-year reunion cruise that his old c
kotegsom [21]

Answer:

$3,168

Explanation:

We will receive $4000 in future (after 4 years time) which means all we want to know is the amount that we Derek must deposit today.

This present value of the $4000 payment received after 4 years from today can be calculated using the following formula:

Present value = Future Value / (1 + r)^n

Here

Future Value is $4000

r is 6%

n is 4 years

So by putting values, we have:

Present value = $4000 / (1 + 6%)^4 Years

Present value = $3,168

3 0
3 years ago
An investment will pay $150 at the end of each of the next 3 years, $100 at the end of Year 4, $400 at the end of Year 5, and $4
stepladder [879]

Answer:

Present Value= $978.83

Explanation:

Giving the following information:

An investment will pay $150 at the end of each of the next 3 years, $100 at the end of Year 4, $400 at the end of Year 5, and $450 at the end of Year 6.

i= 0.09

We need to use the following formula:

PV= FV/(1+i)^n

For example:

Year 1= 150 / 1.09= 137.61

Year 4= 100/1.09^4= 70.84

Year 6= 450/1.09^6= 268.32

PV= 978.83

3 0
3 years ago
Other questions:
  • Minnesota drivers license what does the m stand for
    5·1 answer
  • Bill is a yacht broker in the southeastern United States. For years he has had difficulty selling large yachts locally because t
    12·2 answers
  • Determine the standard direct materials cost per unit of finished product, assuming that there was no inventory of work in proce
    6·1 answer
  • Suppose that the spot price of the US dollar is 1 ($/Canadian dollar) and the one-year forward rate is 1.2 ($/Canadian dollar),
    13·1 answer
  • When making a decision that will leave you better off, you try to _____ . reduce costs maximize satisfaction choose every option
    6·2 answers
  • Eley Corporation produces a single product. The cost of producing and selling a single unit of this product at the company's nor
    11·1 answer
  • The individual with the highest valuation of the good will win in which of the following auctions?
    14·1 answer
  • Larry and Susan work in an office near Tractor-ama and Tip Top Tractors, wholesale tractor sellers on the same block. Larry noti
    8·1 answer
  • One year ago, you purchased 600 shares of a stock. This morning you sold those shares and realized a total return of 3.1 percent
    14·1 answer
  • Whispering Winds Corp. issued common stock for proceeds of $513000 during 2022. The company paid dividends of $91000 and issued
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!