How much gain must shadiya recognize

Assignment Help Accounting Basics
Reference no: EM133156577

Question - Carolina Corporation, an S corporation, has no corporate E&P from its years as a C corporation. At the end of the year, it distributes a small parcel of land to its sole shareholder, Shadiya. The fair market value of the parcel is $82,600, and its tax basis is $49,000. Shadiya's basis in her stock is $18,500. Assume Carolina Corporation reported $0 taxable income before considering the tax consequences of the distribution.

Required - How much gain must Shadiya recognize (if any) as a result of the distribution, what is her basis in her Carolina Corporation stock after the distribution, and what is her basis in the land?

Reference no: EM133156577

Questions Cloud

Find the outstanding balance remaining after two years : Ben made a down payment of $4000 on a new boat. Find the outstanding balance remaining after two years
Find the online learning platform : If you were the developer of a technology designed to provide an online learning platform, what would you do to get a school or educational facility to purchase
What caused second world war : What caused the Second World War? How did this war transform Europe and the world? Consider the political, economic, and social consequences of these events.
Involvement in the selection of strategies : -How would the board's increased involvement in the selection of strategies affect a firm's strategic competitiveness?
How much gain must shadiya recognize : How much gain must Shadiya recognize (if any) as a result of the distribution, what is her basis in her Carolina Corporation stock after the distribution
Explain how each of the two motivation theories apply : Explain which end of the continuum of compensation philosophies (as shown in Figure 7-3 in the etext) you feel best describes the compensation process
International business transaction : 1. The Human Development index produced by the UN measures 2. Which of the following would not be an international business transaction?
Facet of international importance : Read a current (within one week) affairs article dealing with some facet of international importance. The article may pertain to travel and tourism or it may re
Share team member diversity experience : Please share your team member diversity experience. Was diversity beneficial for the team? Or, was there more conflict?

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

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