What is bart basis in the building at the time of the sale

Assignment Help Finance Basics
Reference no: EM132040979

Bart purchased an office building for $630,000. This year he sells the building for $950,000. Over the year, he replaced the windows and doors at a cost of $60,000, repainted the exterior (repainting is considered maintenance) at a cost of $15,000, and installed an elevator at a cost of $90,000. Bart took straight line depreciation on the building for 20 years for a total of $400,000.

What is Bart's basis in the building at the time of the sale?

A) $380,000

B) $290,000

C) $230,000

D) $630,000

What is Bart's realized gain?

A) $410,000

B) $320,000

C) $950,000

D) $570,000

What is Bart's recognized gain?

A) $320,000

B) $950,000

C) $410,000

D) $570,000

Reference no: EM132040979

Questions Cloud

Hypothesis testing procedure that is explicitly or implicitl : What is the statistical technique that allowed the researchers to accomplish and/or conclude in the study?
Why is hypothesis testing important in research : There are strengths and weaknesses associated with the hypothesis testing procedure. Why is hypothesis testing important in research?
How to manage the price risk associated with refinery : Use both Futures then Options to illustrate how to manage the price risk associated with a refinery that process 5 million bbl's daily.
Who has the lower opportunity cost of completing the task : Keeping in mind that either Ginny or Eric must take time off from work to prune the trees, who has the lower opportunity cost of completing the task
What is bart basis in the building at the time of the sale : What is Bart's basis in the building at the time of the sale?
Calculate the project internal rate of return : Calculate the project's internal rate of return. Calculate the project's net present value.
Identify and discuss the clinical problem : A PICOT starts with a designated patient population in a particular clinical area and identifies clinical problems or issues that arise from clinical care.
How much is the tax on this transaction before taking : How much is the tax on this transaction before taking into consideration the 3.8% Medicare tax?
What is maria capital gain that she will report : What is Maria's capital gain that she will report on line 13 of her Form 1040?

Reviews

Write a Review

Finance Basics Questions & Answers

  If winkler inc has sales of 2 million per year all credit

if winkler inc. has sales of 2 million per year all credit and an average collection period of 35 days what is its

  What is the standard deviation if the correlation is given

What is the standard deviation if the correlation is +1? 0? -1? (Do not round intermediate calculations. Enter your answer as a percent rounded to 2 decimal).

  Find interest rate of the return on investment

Suppose you purchase a ten year bond with 6 percent annual coupons. You hold the bond for four years, and sell it immediately after receiving the fourth coupon.

  What are the implications of this new business model

How does the business model for cloud computing differ from the traditional business model use by companies such as Microsoft? What are the implications of this new business model for Microsoft's future financial performance?

  Probability that the next student taking the test

The Table of Random Numbers that appears in Appendix B of your text is arranged in blocks of five numbers each. Note that the arrangement in blocks is only for convenience, and has nothing to do with a relationship between the numbers.

  Compare this yield with normal return for stocks

In the late 1990s, PIE ratios were high by historical standards. The P/E ratio for the S&P 500 stocks was as high as 33 in 1999. In the 1970s it was 8.

  What is the expected return of the stock

The risk-free rate is 3.50% and the market risk premium is 6.50%. What is the expected return of the stock?

  Calculate the simple interest on investment

Calculate the simple interest on a $9,212 investment made for five years at an interest rate of 6.5 percent per year.

  What is the price-earnings ratio in given case

Frick & Frack has total assets (TA) of $1,230,500 and total asset turnover (TAT) of 1.4. The firm has a profit margin (PM) of 10.2 percent.

  Calculate the roe for the firm

You are considering investing in Nuran Security Services. You have been able to locate the following information on the firm: total assets are $25.85 million.

  Difference between deflation and disinflation

1. Why is a high rate of inflation bad for the economy? 2. Right now, our economy is going through what phase of the business cycle? How do you know this? 3. Explain the difference between deflation and disinflation.

  Which statement presents information as of a specific point

which statement presents information as of a specific point in time?a income statement.b balance sheet.c statement of

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