Gain or loss on the exchange of unimproved land

Assignment Help Other Subject

Reference no: EM13171072

Garrison Corporation transfer unimproved land to Rucker Corporation and receives in exchange improved land with an FMV of $600,000 and $250,000 of cash. Rucker's adjusted basis in the improved land is $750,000. Garrison's adjusted bais in the unimproved land is $400,000 and the FMV of the land is $900,000. At the time of the exchange Garrison's unimproved land is subject to a $200,000 mortgage that Rucker assumes. Rucker's improved land is subject to a mortgage of $150,000 that Garrison assumes.

A. Compute Garrison's realized and recognized gain or loss on the exchange of the unimproved land and its basis in the newly acquired improved land.

B. Compute Rucker's realized and recognized gain or loss on the exchange of the improved land and its basis in the newly acquired unimproved land.

Reference no: EM13171072

Questions Cloud

How many grams of na3po4 is needed to produce\ : How many grams of Na3PO4 is needed to produce 575mL of a solution that has a concentration of Na+ ions of 1.50M?

Adopt sustainability marketing : Why has the principle of sustainable development been easy for some groups to endorse but difficult for them to put into practice? In your experience, what type of companies should adopt sustainability marketing?

Calculate the volume of the spherical container : The gas remaining in the first container shows a pressure of 1.710 atm. Calculate the volume of the spherical container.

Green and environmental marketing concepts : The green and environmental marketing concepts of the 1990s assume that companies are market driven, aiming their efforts at the target group of green consumers.

Gain or loss on the exchange of unimproved land : Compute Garrison's realized and recognized gain or loss on the exchange of the unimproved land and its basis in the newly acquired improved land.

How much of her gross pay that week was direct labor : What are the advantages and disadvantages of a stable inventory policy for a company that has greatly fluctuating sales during the year?

Create project to compute your checking account balance : Create a project to compute your checking account balance. Form: Include radio buttons to indicate the type of transaction: deposit, check, or service charge. A text box will allow the user to enter the amount of the transaction.

Calculate the amount of heat transferred : Calculate the amount of heat transferred when 46.0 g of CH3OH is decomposed by this reaction at constant pressure.

Explain in detail the professional ethics of an auditor : Explain in detail the professional ethics of an auditor and its importance to the auditing perfession. Provide examples of five ethical dilemmas that could arise during the audit process and determinge how you would resolve them.

User Account

All Pages