Answer: $7,716.76
Explanation:
Ian's friend will have to pay a specific annual payment per year so this is an annuity.
The $25,000 is the present value of the payments.
25,000 = Annuity * Present Value interest factor of Annuity, 9%, 4 years
25,000 = Annuity * 3.2397
Annuity = 25,000/3.2397
= $7,716.76
Answer:
a. What is the amount and character of Kimberly's recognized gain or loss on the distribution?
Kimberly's capital gain = land's FMV - other land's FMV = $22,675 - $19,850 = $2,825
b. What is Kimberly’s remaining basis in KST after the distribution?
Kimberly's basis = basis + gain - land basis = $18,300 + $2,825 - $15,575 = $5,550
c. What is KST's basis in the land Kimberly contributed after Kimberly receives the distribution?
KST's basis on the land = land's basis + Kimberly's gain = $12,750 + $2,825 = $15,575
A lifeguard would be an example of one.<span />
Answer:
$0
Explanation:
The adjusted basis for any property or assets transferred to a corporation or a partnership in exchange for shares or property rights must be registered at fair market value.
In this case Mr. Brown transferred property with a fair market value of $50,000 and received in exchange stock worth $35,000 and $15,000 in cash. ($50,000 = $35,000 + $15,000)
Answer:
d. brand name
Explanation:
If a company has the money, it can acquire much software that is necessary for the company. Therefore, option B is incorrect. The company can lease a new building through the capital, and a new building is a non-current asset. So, option C is also wrong. A new CEO is not an asset because the company has to pay a salary for the CEO that is an expense. So, option A is not correct.
The brand name is an asset to the company. Using capital, Threadbare Industries cannot acquire the brand name. A brand name cannot be acquired through the capital, and it can be acquired through customer satisfaction. Therefore, option D is correct.
