Answer: $0 equipment, $20,000 land, $30,000 inventory, $90,000 partnership interest.
Explanation: The asset basis in the partnership between Xena and Xavier is the same same their basis. In the scenario above, Xena's basis is the same as Xena's partnership basis in asset.
Xena's asset basis include;
Cash = $20,000
Land basis = $40,000
Inventory basis = $30,000
Equipment basis = $0
Therefore Xena's basis in the partnership interest :
$(20,000 + 40,000 + 30,000 + 0) = $90,000
Answer:
$2,625
Explanation:
Conversion cost incurred in September = $6000
Conversion cost incurred in August = $1.15/gallon ×7500 gallons = $8,625
Difference = $8,625 - $6,000 = $2,625
Answer:
Gogo Inc. and Mrs. Mill
The Income that Mrs. Mill must recognize in the year of exercise is:
= $23,100
Explanation:
a) Data and Calculations:
Options given to Mrs. Mill = 10,000 shares of Gogo stock
Exercise price of the options = $8 per share
Period of option exercise = 5 years
Selling price of shares at grant date = $7.87
Selling price of shares at exercise date = $10.31
Compensation expense recorded by Gogo = $26,700
Cost of options to Mrs. Mill = $80,000 (10,000 * $8)
Income that Mrs. Mill must recognize in the year of exercise = $23,100 ($10.31 - $8) * 10,000
Answer:
Question: Which amendment is involved. What is the right thing to do according to The Bill of Rights?
Answer: The 5th Amendment. A compensation should be made to Gina DeLong for the destruction of her home.
Explanation:
The 5th amendment creates a number of rights relevant to criminal and civil legal proceedings.
It requires that due process of the law be part of any proceeding that denies a citizen - life, liberty or property and requires the government to compensate citizens when it takes their private property for public use.
In this case the City has experience massive growth which requires expansion of roads as a result of traffic overload. The expansion of roads would require that private citizens on these roads be relocated and Gina belongs in this category.
The 5th amendment gives Gina the right to a civil legal proceeding requesting the government to compensate her at a fair price for her property.
