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Lorico [155]
2 years ago
14

Pedro sells investment land on September 1, 2019. Information pertaining to the sale follows: Adjusted basis $25,000 Selling pri

ce 90,000 Selling expenses 1,500 Down payment 12,000 Four installment payments 15,000 Mortgage assumed by the buyer 18,000 Required: Each installment payment is due on September 1 of 2020, 2021, 2022, and 2023 (ignore interest). Determine the tax consequences in 2019, 2020, 2021, 2022, and 2023. (Do not round intermediate calculations. Round your final answers to nearest whole dollar value.)
Business
1 answer:
bearhunter [10]2 years ago
8 0

The tax consequence in 2019 is $10584 while the tax consequence from 2020 to 2023 will be $13229.

Bases on the information given, the realized gain will be:

= $90000 - $25000 - $1500

= $63500

The gross profit percentage will be:

= 63500/(90000 - 18000) × 100

= 63500/72000 × 100

= 88.19%

The tax consequence in 2019 will be:

= $12000 × 88.19% = $10584

The tax consequence in 2020 will be:

= $15000 × 88.19% = $13229

The tax consequence in 2021 will be:

= $15000 × 88.19% = $13229

The tax consequence in 2022 will be:

= $15000 × 88.19% = $13229

The tax consequence in 2023 will be:

= $15000 × 88.19% = $13229

Read related link on:

brainly.com/question/25301019

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Answer:

a. Audience’s: Appliance producer  

Audience’s general mentality towards subject: The apparatus maker must treat this on need, as lawful results are related with it  

Audience’s has to know: The objective that has occurred in the installment procedure and the purpose for the postponement  

b. Audience’s: Smartphone shoppers and devotees  

Audience’s general mentality towards subject: The customers will pay attention to the promotion on the off chance that they have a prerequisite for a cell phone. The general fans will be worried about the one of a kind highlights of the contribution  

Audience’s has to know: The highlights offered and the cost at which the item will be accessible  

c. Audience’s: Top administration  

Audience’s general disposition towards subject: The top administration must be interested to comprehend the target behind the proposition of combining 4 deals locales into 2  

Audience’s has to know: The target of the proposition and the advantages that the organization may procure from it  

d. Audience’s: Citizens in the area  

Audience’s general demeanor towards subject: The individuals needing such administrations will be energized with the decreased rates. The individuals not having any such prerequisite, won't give it much thought  

Audience’s has to know: The rate in decrease of cost just as the rundown of administrations offered in that cost  

e. Audience’s: Hiring supervisor of organization  

Audience’s general mentality towards subject: The enlisting supervisor will show intrigue on the off chance that he has an opportunity for comparable profile  

Audience’s has to know: The ranges of abilities and skills of the candidate and the properties, which makes him not the same as the others  

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8 0
3 years ago
On November 1, 2021, Aviation Training Corp. borrows $48,000 cash from Community Savings and Loan. Aviation Training signs a thr
mixas84 [53]

Answer:

Explanation:

The journal entries are shown below:

(A) Cash A/c Dr $48,000

             To Notes payable A/c $48,000

(Being note is issued for cash)

(B) Interest expense A/c Dr $480

              To Interest payable A/c $480

(Being accrued interest adjusted)

The computation is shown below:

= Principal × rate of interest × number of months ÷ (total number of months in a year)  

= $48,000 × 6% × (2 months ÷ 12 months)

= $480

The 2 months is calculated from November 1 to December 31

(C) Interest expense A/c Dr $240

Interest payable A/c Dr $480

Notes payable A/c Dr $48,000

                       To Cash A/c $48,720

(Being cash is paid on maturity)

The computation is shown below:

= Principal × rate of interest × number of months ÷ (total number of months in a year)  

= $48,000 × 6% × (1 months ÷ 12 months)

= $480

The 1 months is calculated from December 31 to January 31

8 0
2 years ago
Currently, you own 5.4 percent of the outstanding stock of Keiffer Industries. The firm has decided to issue additional shares o
taurus [48]

We will be participating in (A) rights offer if you opt to purchase the shares you have been offered.

<h3>What is Rights Offering?</h3>
  • A rights offering (rights issue) is a set of rights granted to existing shareholders to purchase more stock shares in proportion to their existing holdings, known as subscription warrants.
  • These are considered a sort of option since they enable stockholders of a firm the right, but not the responsibility, to purchase more shares in the company.
  • The subscription price at which each share may be purchased in a rights offering is often discounted relative to the current market price.
  • Rights are frequently transferrable, giving the possessor the ability to sell them on the open market.
  • Each shareholder in a rights offering receives the opportunity to purchase a pro-rata allotment of extra shares at a certain price and within a specific time frame (usually 16 to 30 days).

Therefore, we will be participating in (A) rights offer if you opt to purchase the shares you have been offered.

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The complete question is given below:

Currently, you own 5.4 percent of the outstanding stock of Keiffer Industries. The firm has decided to issue additional shares of stock and has given you the first option to purchase 5.4 percent of those additional shares. Which one of the following will you be participating in if you opt to purchase the shares you have been offered?

A. Rights offer

B. Red herring offer

C. Private placement

D. IPO

E. General cash offer

3 0
1 year ago
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kotykmax [81]

Answer:

identify the critical path

Explanation:

Based on the information provided, the logical next step for Emily would be to identify the critical path. This means identifying the sequence of project network activities that add up to the longest overall duration which in term will reveal the shortest time possible to complete this project through unnecessary parts within the critical path, and will allow her to meet the imposed deadline.

7 0
3 years ago
15. A bottle‐filling operation has a target value of 20 and consistently averages 19.8 with a standard deviation of 0.5. The des
Sever21 [200]

Answer:

A. The two sided specification process capability index is 1.47

Explanation:

The formula for calculating process capability index is :

( Upper specification Limit  - Average of mean ) / 3 * Standard Deviation

CI = ( 22 - 19.8 ) / 3 * 0.5

CI = 1.47 approximately.

4 0
2 years ago
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