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Shtirlitz [24]
3 years ago
5

Eileen transfers property worth $200,000 (basis of $190,000) to Goldfinch Corporation. In return, she receives 80% of the stock

in Goldfinch Corporation (fair market value of $180,000) and a long-term note (fair market value of $20,000) executed by Goldfinch and made payable to Eileen. Eileen recognizes gain on the transfer of:______.a. $0.b. $10,000.c. $20,000.d. $190,000.e. None of the above.
Business
1 answer:
Anettt [7]3 years ago
5 0

Answer:

b. $10,000

Explanation:

Calculation to determine Eileen recognizes gain on the transfer

Recognized gain=Basis -Fair market value

Recognized gain=$190,000 -$180,000

Recognized gain=$10,000 gain

Therefore Eileen recognizes gain on the transfer of:$10,000

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Answer:

COGS= $181,000

Explanation:

Giving the following information:

Beginning Finished Goods= $39,000

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<u>To calculate the cost of goods sold, we need to use the following formula:</u>

COGS= beginning finished inventory + cost of goods manufactured - ending finished inventory

COGS= 39,000 + 195,000 - 53,000

COGS= $181,000

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Answer:

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Explanation:

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