Economic risk of loss from recourse liabilities

Assignment Help Accounting Basics
Reference no: EM13132536

George pays $10,000 for a 20% interest in a general partnership which has recourse liabilities of $20,000. The partners share the economic risk of loss from recourse liabilities in the same way they share partnership losses. George's basis in his partnership interest is

a. $10,000

b. $12,000

c. $14,000

d. $30,000

Reference no: EM13132536

Questions Cloud

Union and intersection of sets : List the elements in A U B U C. (they are suppossed to be upside down U"s ) State A U (B U C). (the U in between the b, c is the wrong way).
Can one be moral and not believe in god : In this part of the paper, the thesis is to be stated clearly and specifically. It should appear no later than the end of the introduction paragraph.
Essay on the difference between two famous historical figure : essay will be on division-classification and comparison-contrast. e two options regarding the subject matter:Write a comparison-contrast essay discussing the differences between two famous historical figures.
Illustrate what is ending inventory assuming northwest : Cost of goods sold for the year was $369,000. Northwest uses a perpetual inventory system. Illustrate what is ending inventory assuming Northwest uses the gross method to record purchases?
Economic risk of loss from recourse liabilities : George pays $10,000 for a 20% interest in a general partnership which has recourse liabilities of $20,000. The partners share the economic risk of loss from recourse liabilities in the same way they share partnership losses. George's basis in his ..
Academic literary : write academic literary analysis. Take one chapter or section of the novel ( The Brief Wondrous Life of Oscar Wao by Junot Diaz ) and analyze how it develops a certain theme, character, point of view, or how the settings is of integral importance to ..
What happens when taxpayer experiences a net loss : What happens when taxpayer experiences a net loss from a rental home? The loss is fully deductible against the taxpayer's ordinary income, no matter the circumstances.
How many liters of radium, measured : If 1.0*10^15 atoms of Radium produce an average of 1.373*10^4 atoms of Radium per second, how many liters of Radium, measured at STP, are produced per day by 3.5g of Radium?
Report on tax return for current year : There is no minimum gain related to the nonrecourse liability. During the year the partnership incurs a $120,000 loss. How much of the loss can Karen report on her tax return for the current year?

Reviews

Write a Review

Accounting Basics Questions & Answers

  Production cost data

Crawford Company has the following equivalent units for July: materials 10,000 and conversion costs 9,000. Production cost data are:

  Concept of process costing system

A single product in one department and uses a process costing system. At the start of May, there were 10,000 units in process that were 100 percent complete with respect to direct material and 60 percent complete with respect to conversion costs (..

  Identify a list of matters for consideration

The approach the controller recommended is to compare SUPERVALU's revenue recognition accounting policies to three similar companies, one reporting under US GAAP ( Safeway ) and two reporting under IFRS ( Ahold and Loblaw Companies ).

  What portion of the test takers scored between 70 and 130

In a recently administered IQ test, the scores were distributed normally, with mean 100 and standard deviation 15. What portion of the test takers scored between 70 and 130?

  Audit of the clients financial statements

On April 3, 2001, the client asked the CPA to audit the client's financial statements for the year ended December 31, 2001. Is the CPA considered independent with respect to the audit of the client's December 31, 2001, financial statements?

  Accounting - theoretical and practical questions

What is meant by the net realizable value for accounts receivable? What is aging of accounts receivable, and how is it used to account for uncollectible accounts? How is the accounts receivable turnover computed? What information does this ratio prov..

  Classify each of its three overhead activities as unit level

After reading an article about activity-based costing in a trade journal for the furniture industry, Santana Rey wondered if it was time to critically analyze overhead costs at Business Solutions.

  Separate accounts payable computer systems

Wishbone Company maintains two separate accounts payable computer systems. One is known to all the users, and is used to process payments to vendors.

  Acquisition of machine

Page Company is contemplating the acquisition of a machine that costs $50,000 and promises to reduce annual cash operating costs by $11,000 over each of the next six years.

  Draw a cvp chart for the company

Seton Company manufactures a single product that sells for $360 per unit and whose total variable cost are $270 per unit. The company's annual fixed costs are $1,125,000. (1) Use this info to compute the company's (a) contribution margin, (b)contribu..

  Preparing cost of goods manufactured

Prepare a schedule of cost of goods manufactured for Fido Treats for the year ended December 31, 2012. Prepare an income statement for Fido Treats for the year ended December 31, 2012.

  Information about direct labor budget

Construct the company's direct labor budget for the upcoming fiscal year, assuming that the direct labor workforce is adjusted each quarter to match the number of hours required to produce the forecasted number of units produced.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd