User Account

All Pages

How wil denee be taxed on the redemption of her stock

Assignment Help Accounting Basics
Reference no: EM133049375

Question - Liang Corporation has only on class of stock outstanding consisting of two hundred shares owned by denee and karen who are unrelated. Denee owns 120 shares and karen owns 80 shares. Liang corporation redeem bought back 48 of denee's shares for $300 per share (14,400 total). Denee paid $200 per share for her stock in Liang corporation three years ago. Assuming that Liang corporation has substantial earnings and profits. How wil denee be taxed on the redemption of her stock?

Long term capital gain of $14,000

Long term capital gain of $9,600

Longterm capital gain of $4,800

Dividend income of $14,000

Reference no: EM133049375

Questions Cloud

Example of six-brand element strategy : Give an explanation and give an example of six-brand element's strategy that brand of Dr Pepper use:
Explain the concept of diversity : Explain the concept of diversity and discuss challenges associated with workforce diversity in South Africa.
Calculate the project NPV using a discount rate : Thus, in year 6 the investment cash inflow totals ?$4,300,000. Calculate the? project's NPV using a discount rate of 6 percent
Ideal fraud perpetrator characteristics : According to statistics, the ideal fraud perpetrator would have the following characteristics:
How wil denee be taxed on the redemption of her stock : Assuming that Liang corporation has substantial earnings and profits. How wil denee be taxed on the redemption of her stock
E-commerce livestreaming platforms : The virtual-idol concept originated in Japan and has been on the fast development track in recent years in China. These computer-generated internet stars are ga
Account of non-unionization policy : Like Wal-Mart, Southwest Airlines Co. has been able to make profits for many years on account of its non-unionization policy." Offer a comment on this statement
How much money does the firm expect to collect : Ruff Wear expects sales of $600, $650, $670, and $510 for the months of May through August, How much money does the firm expect to collect
Computer that are virtualized or how it is virtualized : Also feel free to explain to add what devices or areas in the computer that are virtualized or how it is virtualized?

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.

  Theory of interest - term structure of interest rates

Term Structure of Interest Rates

  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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +91-977-207-8620

Phone: +91-977-207-8620

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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