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
tresset_1 [31]
3 years ago
7

Moss exchanges a warehouse for a building he will use as an office building. The adjusted basis of the warehouse is $600,000 and

the fair market value of the office building is $350,000. In addition, Moss receives cash of $150,000. What is the recognized gain or loss and the basis of the office building?
Business
1 answer:
Radda [10]3 years ago
6 0

Answer:

$0 and $450,000.

Explanation:

Calculation for What is the recognized gain or loss and the basis of the office building

Calculation for the recognized gain or loss

Using this formula

Recognized gain or loss =Amount realized -(Adjusted basis-Realized loss)

Let plug in the formula

Recognized gain or loss= ($350,000 + $150,000) -( $600,000-$100,000)

Recognized loss =($500,000-$500,000)

Recognized loss =$0

Therefore the Recognized loss  will be $0

Calculation for the basis of the office building

Using this formula

Basis of the office building=FMV+Postponed loss

Let plug in the formula

Basis of the office building= $350,000+$100,000

Basis of the office building= $450,000

Therefore the Basis of the office building will be $450,000

You might be interested in
What is 450x12 PLZ HELP ME I NEED HELP
bulgar [2K]

Answer:

5400

quick and easy  thank u

6 0
2 years ago
PB4.
EleoNora [17]

Answer:

Explanation:

Cost of advertising the product  - Selling & Administrative Cost

Fabric used to make the umbrellas  -Direct Materials Cost

Maintenance of cutting machines used to cut the umbrella fabric so it will fit the umbrella frame  -Manufacturing overhead Cost

Wages of workers who assemble the product  - Direct labour Cost

President's salary  - Selling & Administrative Cost

The salary of the supervisor of the people who assemble the product  - Selling & Administrative Cost

Wages of the product tester who stands in a shower to make sure the umbrellas do not leak  - Direct labour Cost

Cost of market research survey  - Selling & Administrative Cost

Salary of the company's sales managers  - Selling & Administrative Cost

Depreciation of administrative office building - Selling & Administrative Cost

4 0
2 years ago
What is the largest item on which the federal government spends the money it raises?
strojnjashka [21]
Answer: social security
8 0
3 years ago
Read 2 more answers
The computation of the alternative minimum tax base begins with regular taxable income. Which of the following is not part of th
klemol [59]

Answer:

A. Subtract state income taxes paid.

7 0
3 years ago
What is the difference between a sole proprietorship and an LLC?
kotegsom [21]

Sole proprietorship is owned by one person. Why LLC is a business structure that can combine the pass-through taxation of a partnership or sole proprietorship with the limited liability of a corporation

7 0
3 years ago
Other questions:
  • Tanek Corp.’s sales slumped badly in 2017. For the first time in its history, it operated at a loss. The company’s income statem
    5·1 answer
  • Give any 6 points why we need oupation​
    9·1 answer
  • It is of utmost importance that the recruitment, screening, orientation, training, evaluation, and retention of crisis workers d
    15·1 answer
  • Kate purchased 500 shares of Fast Deliveries stock on Wednesday, July 7th. Ted purchased 100 shares of Fast Deliveries stock on
    15·1 answer
  • The Gap has recently produced a new line of athletic wear that closely competes with a designer label in its quality, utility, a
    7·1 answer
  • Review the powers of and limits to taxation in the United States. How does the constitution limit federal and state powers of ta
    11·1 answer
  • The first US Airline:
    15·2 answers
  • Government can reallocate resources away from private goods toward public goods, usually through Multiple Choice import tariffs
    12·1 answer
  • A(n) ________________ is a number of currency units, shares, bushels, pounds, or other units specified in a derivative instrumen
    6·1 answer
  • Nancy and her daughter, Kathleen, have been working together in a cattery called "The Perfect Cat." Nancy formed the business se
    5·1 answer
Add answer
Login
Not registered? Fast signup
Signup
Login Signup
Ask question!