What is the amount of income mr pine must recognize

Reference no: EM132217347

Question - Mr. Pine transferred equipment (with a FMV of $20,000 and an adjusted basis of $15.000) and legal services (FMV of $10,000) to X Corporation for 85% of its outstanding stock. What is the amount of income Mr. Pine must recognize due to this transfer?

A. $10,000

B. $0

C. $5,000

D. $15,000

Reference no: EM132217347

Questions Cloud

Comment on what you think industrial companies should do : During a disaster certain assets must be protected, and for industrial companies, this is not only for the company but also for the surrounding community.

Porter five forces and blue ocean strategy perspective : Please view a few video's on Youtube about the differences and similarities between Porter's five forces and Blue Ocean Strategy perspective.

Business continuity plan and disaster recovery : You have recently bought large parts company that went bankrupt. List five things that could go wrong without business continuity plan and disaster recovery.

Decision facing companies is how much to spend on promotion : Marketing Promotional Budget Decisions Remember, one of the most difficult marketing decision facing companies is how much to spend on promotion.

What is the amount of income mr pine must recognize : Mr. Pine transferred equipment and legal services to X Corporation for 85% of its outstanding stock. What is the amount of income Mr. Pine must recognize

The complaints of lower paid sales associates are legitimate : “Everyone dreams of that kind of star treatment, like being Oprah,” Do you think the complaints of lower paid sales associates are legitimate? Why?

Discuss criminological theory : Discuss criminological theory. What is it, and why is it important? Select two of the theories examined in Unit III, and discuss the main points of the theories

Discuss the pros and cons of outsourcing : Discuss the benefits of installing an ERP system. Discuss the pros and cons of outsourcing.

Construct the capital structure of the firm : Construct the capital structure of the firm to find the wd and we components of the WACC. Note that the dollar amount of long-term debt and the dollar amount.

User Account

All Pages