Title During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the. Description During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the disposition of land held for investment. PCC has not recognized a net capital gain or loss since 2010. PCC has a net operating loss carryover from 2014. What is PCC's net capital loss for the year? What if: Assume that in 2015, PCC reported a net capital loss of $28,000 and that it reported a $7,000 net capital gain in 2012, no net capital gain or loss in 2013, and a $4,000 net capital gain in 2014. What is the amount of its net capital loss carryover to 2016? PCC reported a net operating loss in 2014 but did not report a net operating loss in either 2012 or 2013. What if: Suppose PCC did not recognize any net capital gains in prior years but that next year (2015) it recognizes a net capital gain of $5,000 (before considering any capital loss carryovers). What will be its book-tax difference associated with capital gains and losses next year? Is it favorable or unfavorable? Is it temporary or permanent?
Title During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the. Description During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the disposition of land held for investment. PCC has not recognized a net capital gain or loss since 2010. PCC has a net operating loss carryover from 2014. What is PCC's net capital loss for the year? What if: Assume that in 2015, PCC reported a net capital loss of $28,000 and that it reported a $7,000 net capital gain in 2012, no net capital gain or loss in 2013, and a $4,000 net capital gain in 2014. What is the amount of its net capital loss carryover to 2016? PCC reported a net operating loss in 2014 but did not report a net operating loss in either 2012 or 2013. What if: Suppose PCC did not recognize any net capital gains in prior years but that next year (2015) it recognizes a net capital gain of $5,000 (before considering any capital loss carryovers). What will be its book-tax difference associated with capital gains and losses next year? Is it favorable or unfavorable? Is it temporary or permanent?
Chapter17: Corporations: Introduction And Operating Rules
Section: Chapter Questions
Problem 10DQ
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Transcribed Image Text:Title
During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the.
Description
During 2015, PCC sold Intel stock at a $12,000 gain and also reported a $40,000 capital loss on the
disposition of land held for investment. PCC has not recognized a net capital gain or loss since 2010. PCC
has a net operating loss carryover from 2014. What is PCC's net capital loss for the year?
What if: Assume that in 2015, PCC reported a net capital loss of $28,000 and that it reported a $7,000 net
capital gain in 2012, no net capital gain or loss in 2013, and a $4,000 net capital gain in 2014. What is the
amount of its net capital loss carryover to 2016? PCC reported a net operating loss in 2014 but did not
report a net operating loss in either 2012 or 2013.
What if: Suppose PCC did not recognize any net capital gains in prior years but that next year (2015) it
recognizes a net capital gain of $5,000 (before considering any capital loss carryovers). What will be its
book-tax difference associated with capital gains and losses next year? Is it favorable or unfavorable? Is it
temporary or permanent?
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