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Yuri [45]
2 years ago
6

An individual taxpayer is selling her principal residence, which she has owned for ten years and lived in for nine years. What s

ection and subsection of the Internal Revenue Code states the amount of gain the taxpayer can exclude from gross income from the sale of her principal residence
Business
1 answer:
avanturin [10]2 years ago
7 0

Answer:

Section 121 exclusion

Explanation:

In simple words, IRC section 121 requires a person to deduct up to $250,000 ($500,000 for dual filers) of profit from the selling (or exchange) of land that was purchased and utilized as a primary home for at minimum two of that five years preceding the sale. Thus, from the above explanation we can conclude that the correct answer is section 121 exclusion.

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Barbara made a contract to sell a house to Bolton. The agreement stated that it was contingent upon the buyer being able to secu
Levart [38]

Answer and Explanation:

A due on sale clause is simply a stipulation in the mortagage agreement that the

"borrower if he wants to sell the property to some other person, first of all he (borrower) shall repay the entire outstanding mortagage amount and then only it is possible to sell the property which is secured under Mortagage agreement.

Hence in essence, the borrower must repay before selling it to some other person which will result in paying the sale proceeds of house to the lender first and the Borrower again has to take loan sometimes from the same lender.

Hence it is imperative that the mortagage obligation cannot be transferred to any other person. That is any subsequent buyer cannot ASSUME the mortagage. Therefore due on sale

Clause prevents assuming of mortagages.

6 0
3 years ago
Ariana withdrew $400,000 out of her personal savings account and used it to start her new Internet cafe. The savings account pay
Vikki [24]

Answer:

The Ariana's accounting profit for the year was $6,000

Explanation:  

Accounting Profit : The accounting profit is that profit which records the difference of total revenues and total direct cost.

Where,

Total revenues includes sales revenues

And total cost includes monetary cost, etc.

So,

Accounting profit = Total revenues - Total cost

where

Total revenues = 2,000 × $2.5 + 4,000 ×$2.5 = $15,000

Monetary cost = $9,000

So,

Accounting profit = $15000 - $9000 = $6,000

Hence, the Ariana's accounting profit for the year was $6,000

7 0
3 years ago
Henrietta is interested in moving her organization toward being a true learning organization. what might be one way in which she
S_A_V [24]
<span>If Henrietta wants to move her organization closer to being a true learning organization, she should redesign the structure. These changes will effect how the company is run and will improve the overall efficiency, productivity, and workflow of the company.</span>
6 0
3 years ago
Agency conflicts between managers and shareholders Consider the following scenario and determine whether an agency conflict exis
Ivenika [448]

Answer:

Agency conflicts between managers and shareholders

1. A New Beginning (ANB)

A. Yes; Alexander is misappropriating some of Akiko's wealth by unilaterally purchasing a nonbusiness asset using ANB's funds.

2. The Green Zone Inc. (TGZ):

B. No; although an agency relationship exists between TGZ's management-including Tae as TGZ's chairman and CEO and the firm's shareholders-there is no agency conflict, because no expropriation or wasting of the shareholders' wealth has occurred.

3. In the best interest of shareholders, compensation packages should be structured in a way such that managers have an incentive to maximize the__LONG-TERM____value of the company's common stock price.

4. In addition to well-designed executive compensation packages, two other motivational forces can align the interests of managers with those of their shareholders.

a. Reward the manager with a combination of salary and stock options

b. Let the manager to understand that a takeover can happen if she does not perform well.

5. In the late 1980s and early 1990s, Congress passed legislation making it more difficult for outside investors to stage hostile takeovers. This legislation likely__increases____conflicts between managers and stockholders.

Explanation:

Agency conflicts of interest exist in any relationship where one party is expected to act in another's best interests.  Agency problems or conflicts of interest usually exist between a company's management and the company's stockholders.  But, it can equally exist in a relationship where one party acts against the interest of the other.

5 0
3 years ago
When you should send a email
Sloan [31]

HubSpot researched open times to find late morning tends to get the most opens. Send emails at 11 a.m. for the best results. Data from MailerMailer also suggests that sending emails in the late morning during work hours gets the best percentage of opens.

6 0
3 years ago
Read 2 more answers
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