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
Goshia [24]
2 years ago
11

Miller's office building with an adjusted basis of $625,000 and a fair market value of $885,000 is condemned on December 30, 201

9. Miller is a calendar year taxpayer. He receives a condemnation award of $850,000 on March 1, 2020. He builds a new office building at a cost of $830,000, which is completed and paid for on December 31, 2022. What is Miller's recognized gain on receipt of the condemnation award and basis for the new office building assuming his objective is to minimize gain recognition
Business
1 answer:
Amiraneli [1.4K]2 years ago
4 0

Answer:

1a. Recognized Gain $20,000

1b. Basis $625,000

Explanation:

1a. Calculation for Miller's recognized gain using this formula

Miller's recognized gain =Condemnation award-Costs of building a new office

Let plug in the formula

Miller's recognized gain=$850,000-$830,000

Miller's recognized gain=$20,000

Therefore Miller's recognized gain will be $20,000

1b.Miller's basis

Based on the information given we were told that Miller's office building had an adjusted basis of the amount of $625,000 which simply means that Miller's BASIS for the new office BUILDING will be the amount of $625,000

Therefore the Basis is $625,000

You might be interested in
The monthly bank statement has to be compared with the:
BlackZzzverrR [31]
Checkbook
computer software

4 0
3 years ago
If consumers start to believe they need a product, what is likely to happen?
Contact [7]

Answer:

Option A

Explanation:

Less elastic Demands means ,there will be less effect on the demand of a product if the price of product changes.

5 0
3 years ago
Read 2 more answers
How does the way that a search engine gets and organizes information help you understand why Googling alone is not enough?
bixtya [17]

Answer:

The search engine works through three primary functions,

Crawling, Indexing and Ranking

Explanation:

Crawling is the process in which the server works as a spiders and finds out information relevant for the user. Indexing is the way to store the web page. Ranking is the priority through which websites are displayed. The most matched text with the URLs are displayed first. The content in the website is matched with the relevance and then displayed to the user.

6 0
3 years ago
Blade pays tax of $5,000 on taxable income of $50,000 while Caden pays tax of $12,000 on taxable income of $100,000. What type o
serg [7]

Answer:

Correct option is (c)

Explanation:

Progressive tax rate depends upon the income of the individual. In other words, progressive tax rate increases as income increases. So, higher income group have to pay more taxes as compared to lower income group.

Proportion of tax collected from high income group is more in case of progressive tax rates. In this case, Blade's tax rate is 10% that is 5,000/50,000 and Caden's tax rate is 12% that is 12,000/100,000.

So, tax rate is higher for Caden as compared to rate applicable on Blade's income.

8 0
3 years ago
Consider the relative liquidity of the following assets:
motikmotik

Answer:

Liquidity of an asset refers to how easily convertible the asset is to cash or so called liquid money.

Most Liquid - A $5 bill

This is already cash so it is the most liquid there is.

Second-Most Liquid  - The funds in a money market account

Funds in a money market account are the second most liquid because most often they can simply be withdrawn from the fund. There might be limits on the number of withdrawals allowed though within a period.

Third-Most Liquid  -  A share in a publicly traded company

A share in a publicly trade company ranks here because to realize the cash, one would need to sell the share first.

Least Liquid - Your house

Your house will be the most difficult of these to liquidate as it will involve a much longer process to eventually get it sold and realize cash. The process will include but will not be limited to, advertising, hiring realtors, inspection etc.

7 0
3 years ago
Other questions:
  • A job candidate is being taken out to dinner by a an interviewer. The interviewer gets to pick therestaurant they will dine (eit
    5·1 answer
  • What are the indirect and direct competitors of nike
    12·2 answers
  • Real interest rates can either be positive, zero, or negative, but nominal interest rates can only be zero or positive. question
    9·1 answer
  • A currency trader observes the following quotes in the spot market: 1 U.S. dollar = 122 Japanese yen 1 British pound = 2.25 Swis
    13·1 answer
  • Which of the following options is a challenge to the sustainability of strategically implementing an information​ system? A. Man
    11·1 answer
  • Which element of internal control deals with establishing procedures for things such as handling of incoming checks, and which e
    11·2 answers
  • What is a short term goal
    14·1 answer
  • The County Auditor is the Chief ____ Officer of a county.
    5·1 answer
  • FCIA deduction consists of
    13·1 answer
  • Sum Company has reminded Innovation Marketing of the limitations of their budget. Innovation Marketing reviewed the marketing pl
    12·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!