Answer:
$7,200
Explanation:
West should recognize 6 months of rent during 2004 = $36,000 x 6/12 = $18,000
So West will recognize the remaining $18,000 in rent during 2005, but it decided that the operation will be taxed completely during 2004.
Since the future taxable income will be less than the future pre-tax accounting income be $18,000, then they must report a deferred tax asset = $18,000 x 40% = $7,200
The current tax rate is lower than the future tax rate, but West has to record its tax asset based on the future tax rate, not the current one.
Answer:
b. commissioner of the General Land Office
Explanation:
Commissioner of the General Land Office is in charge of public domain lands in the United States.
Comptroller of public accounts keeps account of the states funds and collects taxes.
Attorney general acts as legal advisor to the government.
I hope my answer helps you.
Answer: A) $3,425 B)$5,950 C)$18,175
Explanation:
a)Kimberly's capital gain = land's Fair market value -non contributed land's Fair market value = $26,075- $22,650= $3,425
b)Kimberly's basis after the distribution = basis in KST + gain - Carryover basis in land = $20,700 + $3, 425 - $18,175 = $5,950
c) KST's basis on the land =KST land's basis on contribution+ Kimberly's gain = $14,750+$3, 425 = $18,175
Answer:
$14,800
Explanation:
The computation of the selling price of the truck is shown below:
The depreciation expense is
= ($60,000 - $12,000) ÷ 6 years
= $8,000
Now the depreciation for 5.5 years is
= $8,000 × 5.5 years
= $44,000
Now book value is
= $60,000 - $44,000
= $16,000
ANd, finally the selling price of the truck is
= $16,000 - $1,200
= $14,800
