Answered: 200,000 of land to Angela and $20,000…

Business

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200,000 of land to Angela and $20,000 cash to Pete. Assume the eturn total DA. $170,000 DB. $130,000 DC. $125,000

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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Question

In the current year, Larry gives $50,000 cash and $30,000 of stock to Mike. He also gives $40,000 of tax-exempt bonds to Angela. His wife , Susan , gives
$200,000 of land to Angela and $20,000 cash to Pete. Assume the couple elects gift splitting for the current year. Larry's taxable gifts reported on his gift tax
return total
A. $170,000
B. $130,000
C. $125,000
D. $30,000

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