Question

Lisa sells business property with an adjusted basis of $152,700 to her son, Alfred, for its...

Lisa sells business property with an adjusted basis of $152,700 to her son, Alfred, for its fair market value of $122,160.

If an amount is zero, enter "0".

a. What is Lisa's realized and recognized gain or loss?

Lisa has a $..............fill in the blank 1 realized loss of which $...........fill in the blank 3 is recognized.

b. What is Alfred's recognized gain or loss if he subsequently sells the property for $167,970? For $99,255?

If Alfred sells the property for $167,970, he has a recognized gain  of $..........fill in the blank 5.

If Alfred sells the property for $99,255, he has a recognized loss  of $..............fill in the blank 7.

Business   Accounting   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Lisa sells business property with an adjusted basis of $130,000 to her son, Alfred, for its...
Lisa sells business property with an adjusted basis of $130,000 to her son, Alfred, for its fair market value of $100,000. a. What is Lisa’s realized and recognized gain or loss? b. What is Alfred’s recognized gain or loss if he subsequently sells the property for $138,000? For $80,000? Note: please provide answers and explanations in Word or Excel format. I would appreciate it.
1. Nikeya sells land (adjusted basis of $120,000) to her adult son, Shamed, for its appraised...
1. Nikeya sells land (adjusted basis of $120,000) to her adult son, Shamed, for its appraised value of $95,000. Which of the following statements is correct? a. Nikeya’s recognizes a loss of $25,000 ($95,000 amount realized – $120,000 adjusted basis). b. Shamed’s adjusted basis for the land is $120,000 ($95,000 price he paid + $25,000 disallowed loss for Nikeya). c. Only a. and b. are correct d. Nikeya's loss is disallowed and, if Shamed subsequently sells the land for $112,000,...
2. Bud exchanges a business use machine with an adjusted basis of $22,000 and a fair...
2. Bud exchanges a business use machine with an adjusted basis of $22,000 and a fair market value of $30,000 for another business use machine with a fair market value of $28,000 and $2,000 cash. a. What is his realized gain/loss? b. What is his recognized gain/loss? c. What is his basis in the new property?
Roy exchanges a business building (adjusted basis of $130,000, FMV of $160,000) for a building with...
Roy exchanges a business building (adjusted basis of $130,000, FMV of $160,000) for a building with a fair market value of $110,000 and an adjusted basis of $40,000 from Idea Corporation. In addition, Roy receives equipment with a fair market value of $50,000 (adjusted basis of $35,000) from Idea Corp. What is the realized gain or loss for Roy? What is the recognized gain or loss for Roy? What is Roy’s basis in the new building? What is Idea’s realized...
2. Arthur owns a tract of undeveloped land (adjusted basis of $145,000) that he sells to...
2. Arthur owns a tract of undeveloped land (adjusted basis of $145,000) that he sells to his son, Ned, for its fair market value of $105,000. What is Arthur’s recognized gain or loss? What is Ned’s basis in the land?
Yancy's personal residence is condemned as part of an urban renewal project. His adjusted basis for...
Yancy's personal residence is condemned as part of an urban renewal project. His adjusted basis for the residence is $665,400. He receives condemnation proceeds of $632,130 and invests the proceeds in stocks and bonds. If an amount is zero, enter "0". a. Calculate Yancy's realized and recognized gain or loss. Yancy's realized (gain or loss) is $........., and Yancy's recognized (gain or loss) is $........... b. If the condemnation proceeds are $695,343, what are Yancy's realized and recognized gain or...
Molly exchanges a small machine (adjusted basis of $85,000; fair market value of $78,000) used in...
Molly exchanges a small machine (adjusted basis of $85,000; fair market value of $78,000) used in her business and investment land (adjusted basis of $10,000; fair market value of $15,000) for a large machine (fair market value of $93,000) to be used in her business in a like-kind exchange. What is Molly’s realized gain/loss on the land and machine? What is Molly’s recognized gain/loss on the land and machine?
Sandy owns a building which she uses in her manufacturing business with an adjusted basis of...
Sandy owns a building which she uses in her manufacturing business with an adjusted basis of $375,000 and a $800,000 fair market value. She exchanges her building with a building owned by Mitch. Mitch's building has a $1,050,000 fair market value and is subject to a mortgage of $250,000 which Sandy assumes as part of the transaction. Calculate Sandy's: (1) realized gain, (2) recognized gain, & (3) basis for the building received.
Jennifer Judd gives her son, Jim, Section 1245 property. The property has an adjusted basis of...
Jennifer Judd gives her son, Jim, Section 1245 property. The property has an adjusted basis of $11,000 to Jennifer, who has taken $2,000 in depreciation expense. Jim uses the property for three years, takes depreciation of $3,000 and then sells it for $14,000. What amount of gain must Jennifer recognize and what amount of gain must Jim recognize? $2,000 Section 1231 gain; $3,000 Section 1231 gain $0; $5,000 ordinary income and $1,000 Section 1231 gain $2,000 ordinary income; $6,000 Section...
Louis owns three pieces of land with an adjusted basis as follows: parcel A, $75,000; parcel...
Louis owns three pieces of land with an adjusted basis as follows: parcel A, $75,000; parcel B, $125,000; and parcel C, $175,000. Louis sells parcel A to his uncle for $50,000, parcel B to his partner for $120,000, and parcel C to his mother for $150,000. If an amount is zero, enter "0". a. What is the recognized gain or loss from the sale of each parcel? The recognized loss of Parcel A is $. The recognized loss of Parcel...
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT