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
mario62 [17]
3 years ago
9

Beaver Corporation reported taxable income of $500,000 from operations this year. During the year, the company made a distributi

on of land to its sole shareholder, Eugenia VanDam. The land’s fair market value was $20,000 and its tax and E&P basis to Beaver was $50,000. Eugenia assumed a mortgage on the land of $25,000. Any gain from the distribution will be taxed at 21 percent. Beaver Corporation had accumulated E&P of $1,500,000. (Leave no answer blank. Enter zero if applicable.)Compute Beaver's total taxable income and federal income text paid as result of distribution.
Business
1 answer:
loris [4]3 years ago
4 0

Answer:

Beaver's total taxable income and federal income text paid as result of distribution is $500,000 and $105,000 respectively.

Explanation:

The computation of the taxable income and the federal income is shown below:

Taxable income = Taxable income + loss

                           = $500,000 + $0

                           = $500,000

Since the fair value is $20,000 is less than the mortgage on land i.e $25,000 so it would be a loss of $5,000 which would not be considered so we put the value zero.

And, the federal income equal to

= Taxable income × income tax rate

= $500,000 × 21%

= $105,000

You might be interested in
Building Big Box is a home improvement store based in Kansas and has been responsible for introducing some of the most innovativ
lara [203]

Answer: Finance

Explanation:

The functional area that will be responsible for securing the necessary funding for the expansion is the finance department.

The finance department refers to the department in an organization which is responsible for funds acquisition, funds management and planning for the expenditures on assets.

Since the company is expanding operations by building another facility in Canada, the finance department will provide the funds.

8 0
3 years ago
What do individual shareholders gain when they buy shares of a company’s stock?
Sholpan [36]
A partial ownership in the corporation.
3 0
3 years ago
A company had inventory on November 1 of 5 units at a cost of $19 each. On November 2, they purchased 10 units at $21 each. On N
nydimaria [60]

Answer:

The answer is $221

Explanation:

LIFO means Last in First out i.e the inventory that was bought last will be sold out first.

Opening balance:

November 1: 5 units at $19 each

Purchased:

November 2: 10 units at $21 each

Purchased:

November 6: 6 units at $24 each

Sold:

November 8: 10 units at $54 each

Total number of units bought plus Beginning inventory = 5 + 10 + 6 = 21 units

Therefore, number of units remaining at November 8 after sales is 21 - 10

=11 units.

So according to LIFO, we have:

6 units at $21 = $126

5units at $19 = $95

$95 + $126

=$221

7 0
3 years ago
Kimberly wants to learn about the latest developments in agricultural tools and equipment. She attends many trade shows and conf
IgorLugansk [536]

Answer:

<em>d. gaining exposure</em>

Explanation:

<em>The stated event that Kimberly indulge is an example of</em> gaining exposure.

Gaining exposure is basically known as a gain of experience. Exposure has its meaning that is known as experience.

<em>Kimberly wants to gain experience</em> which is also known as gaining of exposure. <em>That is the reason that wants to learn about the up-to-dated development in agricultural equipment and as well as tools.</em>

3 0
3 years ago
If the price of pepsi-cola increases from 50 cents to 60 cents per can and the quantity demanded decreases from 100 cans to 50 c
rosijanka [135]
This type of demand is classified as autonomous demand. Autonomous demand does not depend on other products but is due to increase in consumer usage by natural desire. This type of demand is relative to the needs of the consumer.
4 0
3 years ago
Other questions:
  • Joe feels that failing his math test is due to an external locus of control that is unstable in nature. what will he attribute h
    7·1 answer
  • Why did the natural environment receive so much attention under new deal programs, and with what result?
    15·1 answer
  • Northern Trail Outfitters (NTO) has created a new onboarding series for customers who have purchased its fitness tracker. Custom
    7·1 answer
  • In advertising, puffery refers to ________. Group of answer choices broadcasting a straightforward promotional message including
    15·1 answer
  • Gonzalez Company acquired $200,000 of Walker Co., 6% bonds on May 1 at their face amount. Interest is paid semiannually on May 1
    5·1 answer
  • . Which one of the following businesses would be the most difficult to get funding for?
    7·1 answer
  • if an insurance company makes a statement that its policies are guaranteed by the existence of the Insurance Guaranty Associatio
    14·1 answer
  • A company produces two products, A and B. The sales volume for A is at least 80% of the total salces for both A and B. However,
    11·1 answer
  • Which financing method would be ideal for funding long term investments?
    12·1 answer
  • Discussion Questions
    11·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!