!Required information[The following information applies to the questions displayed below.]Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $310,000 in return for 50percent of the corporation's stock. Hermione contributed a building and land with the following fair market values andadjusted tax bases in return for 50 percent of the corporation's stock:BuildingLandTotalFMV$ 116,250271,250$ 387,500Adjusted TaxBasis$ 31,000124,000$ 155,000To equalize the exchange, Wiley Corporation paid Hermione $77,500 in addition to her stock.e. What adjusted tax basis does Wiley Corporation take in the land and building received from Hermione?Note: Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.LandAdjusted tax basisBuilding

Step 1: Understanding the Nature of the TransactionIn this scenario, Hermione contributes a building…

Answered: ! Required information [The following…

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter18: Corporations: Organization And Capital Structure

Section: Chapter Questions

Problem 30P

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! Required information [The following information applies to the questions displayed below.] Ron and Hermione formed Wizard Corporation on January 2. Ron contributed cash of $200,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: (Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.) Building Land Total FMV $ 75,000 175,000 $ 250,000 Adjusted Tax Basis $ 20,000 80,000 $ 100,000 To equalize the exchange, Wizard Corporation paid Hermione $50,000 in addition to her stock. Adjusted tax basis e. What adjusted tax basis does Wizard Corporation take in the land and building received from Hermione? Land Building
! Required information [The following information applies to the questions displayed below.] Ron and Hermione formed Wizard Corporation on January 2. Ron contributed cash of $200,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: (Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.) Building Land Total FMV $ 75,000 175,000 $ 250,000 Adjusted Tax Basis $ 20,000 80,000 $ 100,000 To equalize the exchange, Wizard Corporation paid Hermione $50,000 in addition to her stock. Gain or loss realized Gain or loss recognized a. What amount of gain or loss does Ron realize on the formation of the corporation? What amount, if any, does he recognize?
! Required information [The following information applies to the questions displayed below.] Ron and Hermione formed Wizard Corporation on January 2. Ron contributed cash of $200,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: (Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.) Building Land Total FMV $ 75,000 175,000 $ 250,000 Adjusted Tax Basis $ 20,000 80,000 $ 100,000 To equalize the exchange, Wizard Corporation paid Hermione $50,000 in addition to her stock. Tax basis b. What is Ron's tax basis in the stock he receives in return for his contribution of property to the corporation?
[The following information applies to the questions displayed below.] Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $210,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: Building Land Total FMV $ 78,750 183,750 $ 262,500 To equalize the exchange, Wiley Corporation paid Hermione $52,500 in addition to her stock. Gain or loss realized Gain or loss recognized a. What amount of gain or loss does Ramona realize on the formation of the corporation? What amount, if any, does Ramona recognize? Note: Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign. Adjusted Tax Basis $ 21,000 84,000 $ 105,000 $ $ 78,750 52,500
I need answer h and i
Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $235,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: FMV Adjusted Tax Basis Building $ 88, 125 $ 23,500 Land 205, 625 94, 000 Total $ 293,750 $ 117,500 To equalize the exchange, Wiley Corporation paid Hermione $58, 750 in addition to her stock. d. What is Hermione's tax basis in the stock received in return for the contribution of property to the corporation? e. What adjusted tax basis does Wiley Corporation take in the land and building received from Hermione? f. Assume Hermione's adjusted tax basis in the land was $235,000. What amount of gain or loss does Hermione realize on the formation of the corporation? What amount, if any, does she recognize? G. Assume Hermione's adjusted tax basis in the land was $235,000. What adjusted tax basis…
Required information Skip to question [The following information applies to the questions displayed below.] Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $205,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: FMV Adjusted Tax Basis Building $ 76,875 $ 20,500 Land 179,375 82,000 Total $ 256, 250 $ 102,500 To equalize the exchange, Wiley Corporation paid Hermione $51,250 in addition to her stock. c. What amount of gain or loss does Hermione realize on the formation of the corporation? What amount, if any, does she recognize? Note: Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.
Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $ 215,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: FMV Adjusted Tax Basis Building $ 80,625 $ 21, 500 Land 188, 125 86,000 Total $ 268, 750 $ 107,500 To equalize the exchange, Wiley Corporation paid Hermione $53, 750 in addition to her stock. e. What adjusted tax basis does Wiley Corporation take in the land and building received from Hermione?
17.Ron and Hermione formed Wizard Corporation on January 2. Ron contributed cash of $200,000 in return for 50 percent of the corporation’s stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation’s stock: (Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.) FMV Adjusted Tax Basis Building $ 75,000 $ 20,000 Land 175,000 80,000 Total $ 250,000 $ 100,000 To equalize the exchange, Wizard Corporation paid Hermione $50,000 in addition to her stock. What amount of gain or loss does Hermione recognize on the formation of the corporation? Gain or loss recognized
Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $200,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: FMV Adjusted Tax Basis Building $ 75,000 $ 20,000 Land 175,000 80,000 Total $ 250,000 $ 100,000 To equalize the exchange, Wiley Corporation paid Hermione $50,000 in addition to her stock. What amount of gain or loss does Hermione realize on the formation of the corporation? What amount, if any, does she recognize?
21. Ron and Hermione formed Wizard Corporation on January 2. Ron contributed cash of $200,000 in return for 50 percent of the corporation’s stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation’s stock: (Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign.) FMV Adjusted Tax Basis Building $ 75,000 $ 20,000 Land 175,000 80,000 Total $ 250,000 $ 100,000 To equalize the exchange, Wizard Corporation paid Hermione $50,000 in addition to her stock. Assume Hermione’s adjusted tax basis in the land was $200,000.What adjusted tax basis does Wizard Corporation take in the land and building received from Hermione? Adjusted tax basis land and building
Ramona and Hermione formed Wiley Corporation on January 2. Ramona contributed cash of $300,000 in return for 50 percent of the corporation's stock. Hermione contributed a building and land with the following fair market values and adjusted tax bases in return for 50 percent of the corporation's stock: FMV Building $112,500 Land 262,500 Total $375,000 Adjusted Tax Basis $30,000 120,000 $150,000 To equalize the exchange, Wiley Corporation paid Hermione $75,000 in addition to her stock. i. Assume Hermione's adjusted tax basis in the land was $375,000. What adjusted tax basis does Wiley Corporation take in the land and building received from Hermione seperately?

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