User Account

All Pages

What amount of gain or loss is realized and recognized

Assignment Help Accounting Basics
Reference no: EM133085318

Question - In 2021, Martin and Rebecca formed Black Corporation, a C-Corporation. Martin contributed $40,000 in exchange for 40% of Back Corporation's common stock. Rebecca transferred real estate with an adjusted basis of $260,000 and a fair market value of $350,000 in exchange for 60% of Black Corporation's common stock. The real estate was encumbered by a mortgage of $290,000, which Black Corporation assumed. The total value of 100% of Black Corporation's common stock after formation was $100,000.

1) What amount of gain or loss is realized and recognized by Rebecca on the real estate transfer to Black Corporation?

2) What basis does Rebecca take in her Black Corporation stock?

3) What basis does Black Corporation take in the real estate contributed by Rebecca?

Reference no: EM133085318

Questions Cloud

Motivate the customer to buy product online : Explain what and how you can encourage and motivate the customer to buy your product online?
What term refers to software that is designed : 2. What term refers to software that is designed to damage or disable computer systems?
Calculate the balance in paid-in capital : On July 1 it reissued 500 of these shares at $45 per share; Calculate the balance in Paid-in Capital, Treasury Stock, on September 1 assuming its beginning-year
Impact of financial crisis : The impact of the financial crisis that started in 2008 lingered until 2013 and early 2014.
What amount of gain or loss is realized and recognized : What amount of gain or loss is realized and recognized by Rebecca on the real estate transfer to Black Corporation
Discuss the free cash flow system : Discuss the free cash flow system and share your thoughts stating its importance; then corelate its importance to leveraged buyouts.
Levels of subnational governments in the united states : What are the advantages and disadvantages of having so many levels of subnational governments in the United States? Explain
Prevent the money laundering bank transaction : What are the appropriate actions in order to prevent the money laundering bank transaction and Which is the better machine learning algorithm
Subnational governments in the united states : What are the advantages and disadvantages of having so many levels of subnational governments in the United States? Explain.

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