How much of Sue loss is disallowed

Assignment Help Accounting Basics
Reference no: EM133121224

Question - Sue invested $10,000 in the ABC Limited Partnership and received a 10 percent interest in the partnership. The partnership had $30,000 of qualified nonrecourse debt and $30,000 of debt Sue is not responsible to repay because she is a limited partner. Sue is allocated a 10 percent share of both types of debt, resulting in a tax basis of $16,000 and an at risk amount of $13,000. During the year, ABC LP generated a {$160,000} loss. How much of Sue's loss is disallowed due to her tax basis or at-risk amount?

Reference no: EM133121224

Questions Cloud

What is the net present value of the project : What is the net present value of the following project? The discount rate is 12%. The initial investment is $16 and the project has a 5-year duration
Personal selling and the sales management process : The rapidly changing environment means organizations must change to maintain market relevance. Explain the role of sales in IMC
What are fha and va roles in the mortgage market : Lara is buying a new home with a mortgage loan for $245,000.00 at 4.5 percent annual interest with a term of 30 years. What is the amount of the monthly payment
Layoff notice suffer from productivity loss : Now suppose that the workers who received the layoff notice suffer from productivity loss during the month that they remain at the plant {after they received th
How much of Sue loss is disallowed : During the year, ABC LP generated a {$160,000} loss. How much of Sue's loss is disallowed due to her tax basis or at-risk amount
What should cherry stock price be : Cherry Auto Sales just opened and does not expect to pay a dividend during its first year. At the end of its second year, Cherry's owners expect to pay a $2.00
Estimate of the daily volatility : The most recent estimate of the daily volatility of the dollar-sterling exchange rate is 0.6% and the exchange rate at 4:00 p.m. yesterday was 1.5000.
New supervisor training on performance evaluations : Explain the benefits of using performance evaluations. Justify the selection of the performance evaluation tool.
Impact of delta and gamma : Suppose a stock is currently trading at $47, for which there is a FEB 50 Call option selling for $2.0 with a Delta = 0.4 and a Gamma = 0.1.

Reviews

Write a Review

Accounting Basics Questions & Answers

  How much control does fed have over this longer real rate

Hubbard argues that the Fed can control the Fed funds rate, but the interest rate that is important for the economy is a longer-term real rate of interest.   How much control does the Fed have over this longer real rate?

  Coures:- fundamental accounting principles

Coures:- Fundamental Accounting Principles: - Explain the goals and uses of special journals.

  Accounting problems

Accounting problems,  Draw a detailed timeline incorporating the dividends, calculate    the exact Payback Period  b)   the discounted Payback Period. the IRR,  the NPV, the Profitability Index.

  Write a report on internal controls

Write a report on Internal Controls

  Prepare the bank reconciliation for company

Prepare the bank reconciliation for company.

  Cost-benefit analysis

Create a cost-benefit analysis to evaluate the project

  Theory of interest

Theory of Interest: NPV, IRR, Nominal and Real, Amortization, Sinking Fund, TWRR, DWRR

  Liquidity and profitability

Distinguish between liquidity and profitability.

  What is the expected risk premium on the portfolio

Your Corp, Inc. has a corporate tax rate of 35%. Please calculate their after tax cost of debt expressed as a percentage. Your Corp, Inc. has several outstanding bond issues all of which require semiannual interest payments.

  Simple interest and compound interest

Simple Interest, Compound interest, discount rate, force of interest, AV, PV

  Capm and venture capital

CAPM and Venture Capital

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd