When Bruno's basis in his LLC interest is $283,800, he receives cash of $113,520, a proportionate share of inventory, and land in a distribution that liquidates both the LLC and his entire LLC interest. The inventory has a basis to the LLC of $70,950 and a fair market value of $90,816. The land's basis is $127,710, and the fair market value is $113,520. How much gain or loss does Bruno recognize, and what is his basis in the inventory and land received in the distribution? If an amount is zero, enter "0". Bruno recognizes of $ Bruno's basis in the inventory is $ and his basis in the land is $

When Bruno's basis in his LLC interest is $283,800, he receives cash of $113,520, a proportionate share of inventory, and land in a distribution that liquidates both the LLC and his entire LLC interest. The inventory has a basis to the LLC of $70,950 and a fair market value of $90,816. The land's basis is $127,710, and the fair market value is $113,520. How much gain or loss does Bruno recognize, and what is his basis in the inventory and land received in the distribution? If an amount is zero, enter "0". Bruno recognizes of $ Bruno's basis in the inventory is $ and his basis in the land is $

SWFT Comprehensive Vol 2020

43rd Edition

ISBN:9780357391723

Author:Maloney

Publisher:Maloney

Chapter18: Corporations: Organization And Capital Structure

Section: Chapter Questions

Problem 21CE

See similar textbooks

Similar questions

Viktor exchanges stock (adjusted basis $19,000, FMV $26,800) and real estate (adjusted basis $19,000, FMV $46,000) held for investment for other real estate to be held for investment. The real estate acquired in the exchange has a suggested FMV of $70,200. Required: a. What are Viktor's realized and recognized gain or loss? b. What is the basis of the acquired real estate? a a b. Realized gain No gain or loss Realized gain Realized loss Recognized gain Amount
Required information Problem 19-37 (LO 19-2) (Algo) [The following information applies to the questions displayed below] Ramon incorporated his sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted tax bases Inventory Building Land Total FMV $ 31,750 74,000 104,000 $ 209,750 Adjusted Tax Basis $ 10,200 50,500 93,500 $ 154,200 The fair market value of the corporation's stock received in the exchange equaled the fair market value of the assets transferred to the corporation by Ramon. Note: Leave no answer blank. Enter zero if applicable. Negative amount should be indicated by a minus sign. Gain or loss realized Problem 19-37 Part a (Algo) a. What amount of gain or loss does Ramon realize on the transfer of the property to his corporation?
2 A transfers land to Newco in exchange for 100% of Newco's stock. The land has a basis of $50, FMV of $100 and is subject to a mortgage of $40. a. What are the consequences to each of the parties?
Item Nos. 19 to 21 are based on the following information: Partners Bruce, Charlie, and Demi share profits and losses in the ratio of 5:3:2, respectively. At the end of a very unprofitable year, they decided to liquidate the firm. The partners' capital account balances at this time were as follows: 000.000 9 Bruce- -- P 22,000 Charlie --- 24,900 Demi- 15,000 11 SC s blo2 97 The liabilities accumulated to P 30,000, including a loan of P 10,000 from Bruce. The cash balance was P 6,000. All the partners are personally solvent. The partnership plans to sell the assets on installment basis. ich did
2. What amount of unrealized holding gain should be PROBLEMS Problem 23-1 (IAA) Simple Company reported the following information in relation to land: * The entity purchased land on January 1, 2021 for P500,000 cash. On December 31, 2021, the land has a current replacement cost of P600.000. * On December 31, 2022, the land has a current replacement cost of P750,000. The entity sold the land for P1,000,000 cash on December 31, 2023. On this date, the current replacement cost of the land is P800,000. - What amount of unrealized holding gain should be reported in 2021? a. 600,000 b. 500,000 C. 100,000 d. 0. reported in 2022? a. 250,000 150,000 c. 100,000 d. 0. reported in 2023? a. 300,000 b. 250,000 50,000 d. C. in 2023? a. 500,000 b. 250,000 C. 200,000 d. 150,000 711
LO.4, 7 In December 2019, Carl Corporation sold land it held as an investment. The corporation received 50,000 in 2019 and a note payable (with adequate interest) for 150,000 to be paid in 2021. Carl Corporations cost of the land was 80,000. The corporation has a 90,000 net capital loss carryover that will expire in 2019. Should Carl Corporation report the sale in 2019 or use the installment method to report the income as payments are received?
Company B and Firm W exchanged the following business real estate: FMV Mortgage Equity Required: Blackacre (exchanged by B) $ 400,000 (100,000) Whiteacre (exchanged by W) $525,000 (225,000) $ 300,000 $ 300,000 a. If B's adjusted basis in Blackacre was $240,000, compute B's realized gain, recognized gain, and basis in Whiteacre. b. If W's adjusted basis in Whiteacre was $100,000, compute W's realized gain, recognized gain, and basis in Blackacre. Complete this question by entering your answers Required A Required B If B's adjusted basis in Blackacre was $240,000, compu recognized gain, and basis in Whiteacre. Realized gain Recognized gain Basis Amount
Required Information [The following information applies to the questions displayed below.] In year 0. Longworth Partnership purchased a machine for $57,500 to use in its business. In year 3, Longworth sold the machine for $38,800. Between the date of the purchase and the date of the sale, Longworth depreciated the machine by $27,300. (Loss amounts should be Indicated by a minus sign. Leave no answer blank. Enter zero if applicable.) a. What are the amount and character of the gain or loss Longworth will recognize on the sale? Description Total Gain/(Loss) Recognized Character of Recognized Gain/(Loss): Ordinary Gain/(Loss) §1231 gain/(loss) Amount
Problem 15-56 (LO 15-4) Determine the amount of taxable dividend, nontaxable distribution, and capital gain for the distributions made in each of the following cases: Required: a. Corporate E&P of $19,800, shareholder stock basis of $20,800, distribution of $10,400. b. Corporate E&P of $10,500, shareholder stock basis of $10,000, distribution of $9,500 c. Corporate E&P of $18,200, shareholder stock basis of $6,100, distribution of $23,600. d. Corporate E&P of $16,400, shareholder stock basis of $9,150, distribution of $30,450. Note: For all requirements, leave no cells blank - be certain to enter "0" wherever required. a. b. C. d. Taxable dividend Nontaxable distribution Capital gain
Toni calculated her gains and losses from dispositions of Sec. 1231 assets near the end of 20x4. She has a net Sec. 1231 gain of $30,000 and Sec. 1231 lookback losses of $17,000. Which of the following transactions (if Toni completed it in 20x4) would increase her LTCG? O sale of business machine (SP $40,000; cost $56,000; AB $46,000). O sale of business land (held 13 months) (SP $40,000; cost $36,000; AB $36,000). Sale of business land (held 13 months) (SP $40,000; cost $56,000; AB $56,000). None of the answers provided is correct. O Sale of business machine (SP $40,000; cost $56,000; AB $16,000).
12 Required information Problem 19-39 (LO 19-2) [The following information applies to the questions displayed below.] Part 7 of 7 Zhang incorporated her sole proprietorship by transferring inventory, a building, and land to the corporation in return for 100 percent of the corporation's stock. The property transferred to the corporation had the following fair market values and adjusted bases: polnts Adjusted Basis $ 24,000 240,000 FMV $ 48,000 Inventory Building 360,000 552,000 Land 720,000 eBook Total $960,000 $984,000 References The corporation also assumed a mortgage of $100,000 attached to the building and land. The fair market value of the corporation's stock received in the exchange was $860,000. The transaction met the requirements to be tax-deferred under $351. (Negative amount should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable.) Problem 19-39 Part g Assume the corporation assumed a mortgage of $1,060,000 attached to the building and land.…
6. Tulip Company purchased the net assets of another entity for P2,000,000. On the sate of the transaction, the acquire had P800,000 of liabilities The assets of the acquiree at fair value were $1,900,000 for current assets and P1,600,000 for noncurrent assets. What is the amount of gain on bargain purchase? a. P 700,000 b. P-700,000 c. P 800,000 d. P-800,000