What amount of the distribution receives dividend treatment

Assignment Help Accounting Basics
Reference no: EM133069511

Question - In the middle of the current year, Cowen Corp. distributed $60,000 to its sole shareholder, Kachy. Kachy's stock basis was $100,000 prior to the distribution. Cowen Corp. has a deficit in current E&P of $120,000 on the date of distribution and a deficit in current E&P of $200,000 for the entire year. Cowen Corp. has accumulated E&P of $100,000. What amount of the distribution receives dividend treatment?

Reference no: EM133069511

Questions Cloud

Brazilian government bond : The Brazilian government bond rate in nominal reais on January 1, 2019 was 16.51%. What will the risk-free rate in nominal reais be, if:
How much is the replacement value of caramel company : Reported balance of other items approximates their replacement value. How much is the replacement value of Caramel Company at year end
Why national outputs and inputs can not be adjusted : Why national outputs and inputs can not be adjusted in the short-run? How do national outputs affect a level of exchange rates in the long term?
Discount to the closing price of the curro shares : Complete the following assessment. You may use the formats, as per Chapter 21 of your prescribed text, as a guide when completing this assessment.
What amount of the distribution receives dividend treatment : Cowen Corp. has accumulated E&P of $100,000. What amount of the distribution receives dividend treatment
Explain different types of constnuction companies : Analyse how the construction industry has developed suitable collaboratiori strategies in support of greater recognition of health & safety
What price should zoe buy the bond three years ago : Three years ago, Zoe purchased a ten-year corporate bond with 8% semi-annual coupon payment and the yield-to-maturity was 10% at time of purchase.
What is the accounts receivable balance as of march : As of January 1, 2021, NUBD Co. had an accounts receivable of P500,000. What is the accounts receivable balance as of March 31, 2021
What is the price of the 4-year : Q1. A 4-year 6.8% coupon bond is selling to yield 7%. The bond pays interest annually. One year later interest rates decrease from 6.8% to 6.2%.

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