At the beginning of year 1, Paulina purchased a 25% general partner interest in Gamma Partnership for $25,000. Paulina's partnership Schedule K-1 for year 1 reported that her share of Gamma's debt at year-end was $10,000 and her share of ordinary loss was $5,000. On January 1, year 2, Paulina sold her interest to another partner for $22,000 cash (including relief of liabilities). Compute Paulina's gain or loss on the sale of her partnership interest.
A. $0 gain or loss
B. $3,000 loss
C. $2,000 gain
D. $8,000 loss
Answer: C
You might also like to view...
What kinds of ads have the lowest CTR?
A. video ads B. e-mails to an in-house list C. social network display ads D. banner display ads
During 20x5, Oates Company had sales of $250,000, net income of $25,000, average total assets of $350,000, dividend payments of $17,500, net cash flows from operating activities of $26,000, purchases of plant assets of $37,500, and sales of plant assets of $45,000. Cash flow yield equals (Round amounts to one decimal place)
A) 1.5 times. B) 1.0 times. C) 2.1 times. D) 1.3 times.
______________ compounds that modify or describe other words
a. Emphasize b. Repeat c. Separate d. Hyphenate
DRP is similar to ______.
A. a process map B. an assembly chart C. MRP D. Pareto analysis