User Account

All Pages

What amount of gain did Gearty recognize on the exchange

Assignment Help Accounting Basics
Reference no: EM132661892

Problem - Gearty and Olinto organized The Worthington Corp., which issued voting common stock with a fair market value of $240,000. They each transferred property in exchange for stock as follows:

Property

Adjusted Basis

Fair Market Value

Percentage of The Worthington Corp. Stock Acquired

Gearty

Building

$80,000

$164,000

60%

Olinto

Land

10,000

96,000

40%

The building was subject to a $20,000 mortgage that was assumed by The Worthington Corp. What amount of gain did Gearty recognize on the exchange?

a. $0

b. $20,000

c. $84,000

d. $104,000

Reference no: EM132661892

Questions Cloud

Reflect on potential opportunities that may exist for rns : Reflect on potential opportunities that may exist for RNs and APRNs to participate in the policy-making process. Post an explanation of at least two.
Enhance motivation and engagement without spending money : Is there anything we can do to enhance motivation and engagement without spending the money we traditionally have?"
What is the yield on a 4-year security : An analyst is evaluating securities in a developing nation where the inflation rate is very high. As a result, the analyst has been warned not to ignore
Default risk premium and liquidity premium : A 5-year Treasury bond has a 3.15% yield. A 10-year Treasury bond yields 6.35%, and a 10-year corporate bond yields 9.3%.
What amount of gain did Gearty recognize on the exchange : The building was subject to a $20,000 mortgage that was assumed by The Worthington Corp. What amount of gain did Gearty recognize on the exchange
Some people resist idea of working in teams : Why do you think some people resist the idea of working in teams? How would you deal with their resistance?
Discuss how privilege operates in peoples daily lives : Patricia Hill Collins refers to race, class, Define privilege (on the basis of categories of identity) and discuss privilege operates in peoples' daily lives.
Reflect on status of human resource management : Reflect on the status of human resource management in your current position or organization.
What is the yield on this 5-year corporate bond : What is the yield on this 5-year corporate bond? Round your answer to two decimal places.

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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