What gain does Krol have as a result of the distribution

Assignment Help Accounting Basics
Reference no: EM132646865

Problem - Krol Corp. distributed marketable securities in redemption of its stock in a complete liquidation. On the date of distribution, these securities had a basis of $100,000 and a fair market value of $150,000. What gain does Krol have as a result of the distribution?

a. $0

b. $50,000 capital gain

c. $50,000 § 1231 gain

d. $50,000 ordinary gain

Reference no: EM132646865

Questions Cloud

Evaluate role of leadership on organizational behavior : Evaluate the role of leadership on organizational behavior. Describe the organization's industry.
How can results help in the upcoming group project : In every workplace, State your results and comment on an aspect of the findings. How can those results help you in the upcoming Group Project?
What was jake gardner trying to do : If Jake Gardner was overpowered, what would likely happen to him? What was James Surlock trying to do? What was Jake Gardner trying to do?
What amount of gain each Olinto Corp shareholder recognize : Olinto Corp., an accrual basis calendar year C corporation, What amount of gain should each Olinto Corp. shareholder recognize on the liquidating distribution
What gain does Krol have as a result of the distribution : Krol Corp. distributed marketable securities in redemption of its stock in a complete liquidation. What gain does Krol have as a result of the distribution
Explain how is the concept of otherness explored : Explain How is the concept of "otherness" explored in the short story. Make sure to talk about Twyla, Roberta and Maggie in your discussion.
Prepare a letter to Shelly Zumaya and a memo for the file : Shelly has contacted you regarding the IRS's determination. Prepare a letter to Shelly Zumaya and a memo for the file, documenting your research
What should margaret rims do : Describe how the flow of information throughout YERS affected the problem. What should Margaret Rims do? What should the board do?
What is the proper tax treatment for Tammy contribution : In 2016, when Green had E & P of $320,000, What is the proper tax treatment for Tammy's contribution of Green Corporation preferred stock

Reviews

Write a Review

Accounting Basics Questions & Answers

  On october 1 of the current year a corporation sold at par

on october 1 of the current year a corporation sold at par plus accrued interest 1000000 of its 12 bonds which were

  Luke sold a building and the land on which the building

luke sold a building and the land on which the building sits to his brother at fair market value. the fair market value

  You are the senior accountant responsible for recording

you are the senior accountant responsible for recording accrued liabilities at the end of the companys fiscal year.

  The amount of the direct labor rate variance

The standard costs and actual costs for direct labor for the manufacture of 2,500 actual units of product are as follows:

  What customer loyalty techniques would recommend to argyle

What information would be appropriate to collect about customers in a database?What customer loyalty techniques would you recommend to Argyle?

  Estimate of administrative costs in a month

Based on the results of the controller's regression analysis, the estimate of administrative costs in a month with 1,090 credit hours would be

  Why vann company records the interest receivable in august

why Vann Company records the interest receivable in August rather than waiting until the loan is due in November to record the interest

  The discount rate to be used in accounting for pension plan

Identify factors employers should consider when choosing the discount rate to be used in accounting for pension plans of the enterprise.

  Julie has just retired her companys retirement program has

julie has just retired. her companys retirement program has 2 options for how her benefits can be recieved. option 1

  What was centipede income tax payable currently

In the absence of other temporary or permanent differences, what was Centipede's income tax payable currently, assuming a tax rate of 40%

  Is it appropriate for banks and savings associations to

is it appropriate for banks and savings associations to estimate an allowance for pass loans and for credit unions to

  Compute how many units must be sold

It's variable costs per unit are $260. The fixed costs are $1,270,000. If the firm wants to earn $60,000 pretax income, how many units must be sold?

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