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
nignag [31]
3 years ago
8

The stock of Mulberry Corporation is owned by Archana (60%) and Anar (40%), who are mother and daughter. Pursuant to a plan of c

omplete liquidation adopted earlier in the current year, Mulberry distributes land worth $1,364,000 to Anar (basis of $218,240 in Mulberry stock). The land was purchased by Mulberry Corporation three years ago for $1,773,200, and it is distributed subject to a liability of $1,091,200.
What amount of gain or loss is recognized by Mulberry Corporation and by Anar with respect to the distribution of the land?
Business
2 answers:
Vikki [24]3 years ago
5 0

Answer:

We have a loss of $109,120

Explanation:

Based on the scenario

Our variables are as follows,

market value =$1,773,200

Purchased value = $1,364,000

To calculate the loss been recognized is seen below

Loss recognized = Market value − Purchase value

Which we have has

=$1,773,200-1,364,000

=$409,200

The loss been recognized by Mulbery Corporation is $409,200

Also, let's determine the loss or gain of Anar corporation

Purchased value = $1,364,000

Liability = $1,091,200

actual basis of Mulberr stock = $218,240

We can calculate it using these method

Loss by Anar =Purchase value − Liability − Actual basis of Mulberry stock

Substituting the values, we have

=[(1364000 - 1091200)×40%]−$218240

=$109120−$218240

=$109,120

We have a loss of $109,120

Phoenix [80]3 years ago
4 0

Answer:

There is loss of $109,120

Explanation:

Lossrecognized=Marketvalue−Purchasevalue

=$1773200-1364000

Therefore, loss recognized by “M” Corporation is $409,200

Determine the gain or loss of A:

LossbyA=Purchasevalue−Liability−ActualbasisofM

=[($1364000-$1091200)×40%]−$218240

=$109120−$218240

=($109,120)  loss

​

You might be interested in
Which of the following is a disadvantage of being a private limited company?
inysia [295]
The most likely answer here is B
6 0
2 years ago
Lin Corporation has a single product whose selling price is $140 per unit and whose variable expense is $70 per unit. The compan
ivanzaharov [21]

Answer:

The sales unit to achieve a target profit of $6,250 is 545 units

The sales units to achieve to achieve a target profit of $9,400 is 590 units

Explanation:

The quantity at target profit=fixed cost+target profit/contribution per unit

fixed expense=$31,900

target profit $6,250

contribution per unit=$140-$70

                                  =$70

unit sales at a target profit of $6,250=($31,900+$6,250)/$70

                                                             =545  sales units

fixed expenses $31900

target profit of $9400

contribution per unit is $70

unit sales at a target profit of $9,400=($31900+$9400)/$70

                                                            =590 sales unit

8 0
2 years ago
Last​ weekend, Bob attended the university football game. At the opening​ kickoff, the crowd stood up. Bob therefore had to stan
Tatiana [17]

Answer:

a non-cooperative game strategy, where participants independently choose their strategy to maximize their payoffs.

Explanation:

From the question, we are informed about Bob, who attended the university football game last week . At the opening​ kickoff, the crowd stood up. Bob therefore had to stand up as well to see the game. In this​ case, Bob was participating in a non-cooperative game of​ strategy, where participants collectively choose their strategy to maximize their joint payoffs. Non-cooperative game strategy can be regarded as the rational ways economic agent relate with each other so that their goals can be achieved. In this game both the available strategies as well as the outcome from various choices will be listed.

6 0
2 years ago
Which of the following describes a saturated market?
Alecsey [184]
The answer is b many people want this product and havent purchased it yet
4 0
3 years ago
Read 2 more answers
At its $60 selling price, Atlantic Company has sales of $15,000, variable manufacturing costs of $4,000, fixed manufacturing cos
mash [69]

Answer:

$36

Explanation:

The contribution margin per unit is calculated by subtracting the variable cost per unit from the selling price.

Selling price is $60

Contribution margin per unit?

The total sales in dollar value are $15,000, The sales in units equal to

=$15,000 /60

=250 units

Total variable costs will include variable manufacturing cost plus variable selling and administrative costs

=$4000 + $2000

=$6000

variable cost per unit will be the total variable cost divide by units produced

=$6000/250

=$24

Contribution margin per unit = $60- $24

=$36

6 0
3 years ago
Other questions:
  • A group of medical doctors are interested in incorporating their business. there is no advantage due to the costs involved. fals
    9·1 answer
  • Barbara desperately wants to be seen as professional by her coworkers. so, every morning before work, she carefully reviews her
    15·2 answers
  • considering synonymthe web 2.0 is not a new and improved version of the internet. which of the following alternate names most ac
    5·1 answer
  • With recent reports of identity theft, mr. Jones, the ceo of a construction company, is concerned about his employees' privacy,
    5·1 answer
  • An internal report that helps management analyze the difference between actual performance and budgeted performance based on the
    13·1 answer
  • All of the following describe a balance sheet except which one? A. The balance sheet reflects the results of multiple transactio
    15·1 answer
  • What are the two views on why asset prices fluctuate so much that they lead to financial crises and bank​ failures?
    12·1 answer
  • Hunt Inc. intends to invest in one of two competing types of computer-aided manufacturing equipment: CAM X and CAM Y. Both CAM X
    8·1 answer
  • g Let D1 represent the demand curve for premium seats to the Broadway hit Hamilton, and let S1 represent the supply curve for th
    14·1 answer
  • The main purpose of most tariffs and quotas is to
    7·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!