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
cluponka [151]
3 years ago
12

Part 1: Kathleen received land as a gift from her grandfather. At the time of the gift, the land had a FMV of $105,000 and an ad

justed basis of $85,000 to Kathleen's grandfather. One year later, Kathleen sold the land for $110,000. What was her gain or (loss) on this transaction?
a.. No gain or loss


b. ($5,000)


c. $20,000


d. $25,000


Part 2 If numbers were


FMV $85,000 at time of gift and adjusted basis was $110,000 to Kathleen's grandfather. One year later Kathleen sold the land for $80,000 what would her gain or (loss) be in this transaction be?


a. No gain or loss


b. ($5,000) loss


c. $5,000 gain


d. $30,000 gain
Business
1 answer:
artcher [175]3 years ago
8 0

Answer:

d. $25,000

b. ($5,000) loss

Explanation:

In the first case, the gain or loss on this transaction is

Gain or loss on this transaction is

= Sale value of the land - adjusted basis of the land

= $110,000 - $85,000

= $25,000

We ignored the fair market value of the land for computing the gain or loss of the transaction

In the second case, the gain or loss on this transaction is

Gain or loss on this transaction is

= Sale value of the land - fair market value

= $80,000 - $85,000

= -$5,000 loss

You might be interested in
11. If you want to have a return for your Final Portfolio (that is invested between Optimal Risky portfolio and Risk Free Securi
melamori03 [73]

Answer:

Answer is explained in the explanation section.

Explanation:

Note: First of all, this question is incomplete and lacks necessary data to calculate this question. However, I have found the similar question on the internet with complete data given. Additionally, I have shared that data as well in the attachment below for your convenience, Thanks.

Solution:

SD = Standard Deviation

Using utility function, E(R) = Rp - 0.005 x A x SD^{2} = 1.34 - 0.005 x 3x 4.06^{2}

Using utility function, E(R) = 1.093%

If the weight in the risky portfolio is let's say, "a" then,

weight in the risk-free asset = 1 - a

So,

E(R) = a x Rp + (1 - a) x Rf

1.093% = a x 1.34% + (1 - a) x 0.50%

Solving for "a"

a = 70.56% - weight in risky portfolio

and 1 - a = 29.44% - weight in risk-free asset.

Similarly, if you want a return of 1.10%,

we can follow the above steps and get

1.1% = a x 1.34% + (1 - a) x 0.5%

Weight in risky portfolio,

a = 71.43%

weight in risk-free asset,

1 - a = 28.57%

5 0
3 years ago
Beginning WIP is 45% complete and ending WIP is 10% complete as to conversion costs. Materials are added at the beginning of the
lara [203]

Answer:

c. none of these

units started into the process this period plus units in beginning inventory

Explanation:

In FIFO , the physical units are divided between the beginning units, units started in process and the ending units. But as all the materials is added at the beginning of the process so the FIFO physical units would be divided between the units started into the process this period plus units in beginning inventory and hence the equivalent units for materials will be calculated.

So the best choice is option c.

5 0
3 years ago
The percentage which is the sum of the discount rate, the effective tax rate and the recapture rate representing the relationshi
Savatey [412]

Answer:

Capitalization rate

Explanation:

Capitalization rate is a rate mostly used in real estate valuation that is used as a standard to compare a variety of real estate investments. It is calculated in percentage and in terms of the ratio of the net operating income provided or produced by an asset to the original cost or market value of the of the asset.

Cheers.  

7 0
3 years ago
Defend or critique the following statement, using supporting evidence: “Getting to work early on your first day at a new job is
VashaNatasha [74]

Answer:

Dressing well, being prepared, having a positive attitude, arriving early for work and asking good questions.

Explanation:

4 0
3 years ago
For the past 16 months, Susie has been paying $126.50 each month to her insurance company. After causing an accident last month,
NeTakaya
Should be a $225 increase for her annual premium.
5 0
3 years ago
Read 2 more answers
Other questions:
  • None of the following would be an advantage of self-administered surveys:
    8·1 answer
  • Branson paid $566,700 cash for all of the outstanding common stock of Wolfpack, Inc., on January 1, 2017. On that date, the subs
    8·1 answer
  • As discussed in your textbook, the list of calls for police service in long beach, california, shows which type of call for serv
    9·1 answer
  • A goal taking which of these lengths of time to achieve is most likely to be a long-term goal? A. 10 minutes B. 10 hours C. 10 y
    14·1 answer
  • Tool Manufacturing has an expected EBIT of $72,000 in perpetuity and a tax rate of 24 percent. The company has $128,500 in outst
    15·1 answer
  • Rida, Inc., a manufacturer in a seasonal industry, is preparing its direct materials budget for the second quarter. It plans pro
    6·1 answer
  • MegaCable and Acme are competing for an exclusive contract to provide the city of Dustin with cable television for the next year
    11·1 answer
  • nflation, recession, and high interest rates are economic events that are best characterized as being A.factors associated with
    5·1 answer
  • While preparing a bank reconciliation, a bank service charge was discovered. This adjustment would be recorded with a?
    8·1 answer
  • Measuring assets and liabilities based on their original transaction value is an example of:__________
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!