Lisa sells business property with an adjusted basis of $138,900 to her son, Alfred, for its fair market value of $111,120.If an amount is zero, enter "0".a. What is Lisa's realized and recognized gain or loss?Lisa has a $realized lossof which $is recognized.b. What is Alfred's recognized gain or loss if he subsequently sells the property for $152,790? For $90,285?If Alfred sells the property for $152,790, he has a recognized gainIf Alfred sells the property for $90,285, he has a recognized lossof $✓of $

Lisa sold the property to related party (her son). Lisa realised loss of $27,780 ($111,120-1,38,900)…

a. What is Lisa's realized and recognized gain or loss? is recognized. b. What is Alfred's recognized gain or loss if he subsequently sells the property for $152,790? For $90,285? Lisa has a $ realized loss ✔ of which $ If Alfred sells the property for $152,790, he has a recognized gain If Alfred sells the property for $90,285, he has a recognized loss ✓of $ ✓of $

a. What is Lisa's realized and recognized gain or loss? is recognized. b. What is Alfred's recognized gain or loss if he subsequently sells the property for $152,790? For $90,285? Lisa has a $ realized loss ✔ of which $ If Alfred sells the property for $152,790, he has a recognized gain If Alfred sells the property for $90,285, he has a recognized loss ✓of $ ✓of $

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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Problem 13-74 (a) (LO. 6) Rodriquez owns real estate (adjusted basis of $57,000 and fair market value of $65,000), which he uses in his business. Rodriquez sells the real estate for $65,000 to Jones (a dealer) and then purchases a new parcel of land for $65,000 from Franklin (also a dealer). The new parcel of land would normally qualify as like-kind property. a. What are Rodriquez's realized and recognized gain on the sale of the land he sold to Jones? On the sale of real estate, Rodriquez's realized gain is $ and recognized gain is $ b. Rodriquez's basis for the land he purchased from Franklin is $ c. Indicate whether the following statements are "True" or "False" regarding what would motivate Rodriquez to sell his land to Jones and purchase the land from Franklin rather than exchange one parcel of land for the other. • If Rodriquez sells the parcel of land, the sale would have resulted in the realized gain being postponed. • If Rodriquez sells the parcel of land, the recognition of…
Angela exchanges a rental house at the beach with an adjusted basis of $180,000 and a fair market value of $160,000 for a rental house at the mountains with a fair market value of $148,000 and cash of $12,000. What is Angela’s recognized gain or loss? Group of answer choices $148,000 ($20,000) $12,000 $0
Which of the following taxpayers would be most likely to benefit from an installment sale? (a) Allan. He sold a business-use car at a net gain that was less than the amount of depreciation claimed. (b) Kayla. She sold business-use land for a gain. (c) Marie. She sold property she had held in inventory in her business at a net gain. (d) Robert. He sold a fishing boat at a net loss.
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n X8, Erin had the following capital gains (losses) from the sale of her investments: $2,000 LTCG, $25,000 STCG, ($9,000) LTCL, and ($15,000) STCL. What is the amount and nature of Erin's capital gains and losses? Show your working!
Question: Sam wants to purchase land owned by Kiara for use in his trade or business. Kiara's basis in the land is $350,000, and Sam has offered to pay $980,000 if she will sell within the next ten days. Kiara is interested in selling but wants to avoid gain recognition on the sale. Is there any way that Kiara could sell to Sam and still avoid gain recognition? Give Short Explanation of Capital Gains and 1031 exchange.
A. What effect does the rental activity have on her AGI for the year? Plz don't copy answer B. Assuming that Alexa's AGI from other sources is $90,000, what effect does the rental activity have on Alexa's AGI? Alexa makes all decisions with respect to the property. C. Assuming that Alexa's AGI from other sources is $120,000, what effect does the rental activity have on Alexa's AGI? Alexa makes all decisions with respect to the property. D. Assume that Alexa's AGI from other sources is $200,000. This consists of $150,000 salary, $10,000 of dividends, $25,000 of long-term capital gain, and net rental income from another rental property in the amount of $15,000. What effect does the Cocoa Beach condo rental activity have on Alexa's AGI?