Determine the reported gaap basis in trading securities

Reference no: EM133655011

On December 31, 2020, Loren Inc. recorded an unrealized gain in income of $20,000 related to its trading debt securities originally purchased on December 15, 2020, for $30,000. Loren recognized a pretax GAAP income of $80,000 in 2020 and had a tax rate of 25%. Determine the reported GAAP basis in trading securities in the financial statements of Loren on December 31, 2020.

Reference no: EM133655011

Questions Cloud

Arrive at consolidated net income attributable : Arrive at consolidated net income attributable to the controlling interest, the interest's share of consolidated net income is deducted from consolidated net

What water lot valuation technique is this : What water lot valuation technique is this? (1) Land residual method (2) Utility method (3) Zoning method (4) Extraction method

What is the balance of both the total assets : Common Stock Balance of $550,000, and Retained Earnings of $106,500. What is the balance of both the Total Assets and Total Liabilities and Stockholders Equity

What is rands operating leverage and what does that mean : variable expenses of $90,000, and fixed costs of $60,000. What is Rand's operating leverage and what does that mean to Rand Company

Determine the reported gaap basis in trading securities : Determine the reported GAAP basis in trading securities in the financial statements of Loren on December 31, 2020.

What are some financial measurement tools that an investor : What are some financial measurement tools that an investor can use to research currents trends of a publicly traded company that manufactures computers and elec

What is george''s tax basis in the land : Fall distributed land with a fair market value (FMV) of $38,000 to George. The land has an outstanding mortgage of $3,000 that George must assume.

Which job would be in your best interest : Which job would be in your best interest? Why? What other information do you need to make a good decision?

Which machine would you invest in : Using a discounted rate of return of 10% which machine would you invest in - Bernie Hock Limited is deciding between the purchase of two machines

User Account

All Pages