Noelle owns an automobile which she uses for personal use. Her adjusted basis is $45,000 (i.e., the original cost). The car is worth $22,000 . Which of the following statements is correct?
a. If Noelle sells the car for $22,000, her realized loss of $23,000 is not recognized.
b. If Noelle exchanges the car for another car worth $22,000, her realized loss of $23,000 is not recognized.
c. If the car is stolen and it is uninsured, Noelle may be able to recognize part of her realized loss of $23,000.
d. Only a. and b. are correct.
e. a., b., and c. are correct.
e
RATIONALE: Personal casualty losses (choice c.) can be deducted subject to a $100 floor and a 10% of AGI floor.
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Use the selected data from Pinecrest Company's financial statements to answer the following question. 2017 2016 Cash $ 22,000 $ 14,000 Accounts receivable 42,000 16,000 Merchandise inventory 22,000 83,000 Prepaid expenses 23,000 18,000 Total current assets $109,000 $131,000 Total current liabilities $ 65,000 $ 72,000 Net credit sales 221,000 326,000 Cost of goods sold 168,000 299,000 Net cash
flow from operating activities 16,000 29,000 Refer to the data for Pinecrest Company. Which of the following statements is true? a. The current ratio increased from 2016 to 2017. b. The acid-test ratio decreased from 2016 to 2017. c. The amount of working capital decreased from 2016 to 2017. d. Assuming extreme conditions do not exist, the company appears to be in a worse position to pay its current debts at the end of 2017 compared to 2016.
Answer the following statements true (T) or false (F)
1.People stay in unhappy relationships because they want to. 2.People stay in abusive relationships because they want to. 3.To get advice as a battered woman, there is a National Domestic Violence Hotline. 4.Many people report death to be the most painful of all relationship endings. 5.Everyone who experiences loss will be devastated by the death of a relational partner.
Kurtain Corp leased a new building and land from Harlow Leasing Inc for 20 years. At the inception of the lease the building and land have fair market values of $150,000 and $20,000, respectively. The building has an expected economic life of 25 years. Which of the following statements is correct regarding Kurtain's treatment of the lease?
a. Kurtain should treat the lease as a capital lease provided that the land and building are recorded in separate asset accounts and accounted for separately. b. Kurtain should treat the lease as a capital lease only if there is either a bargain purchase option or an automatic transfer of ownership at the termination of the lease. c. Kurtain should treat the lease as a capital lease even though there is no bargain purchase option and no automatic transfer of ownership at the termination of the lease. d. Kurtain should treat the lease as a capital lease only if Harlow treats the transaction as a leveraged lease.
In an output contract, the buyer agrees to make all of its purchases from one buyer
Indicate whether the statement is true or false