Reference no: EM133140612
Questions -
Q1. Wozniacki and others form Jewel LLC, with each receiving a one-fourth interest in the capital and profits of the LLC. Wozniacki receives the one-fourth interest as compensation for tax planning services rendered prior to the formation of the LLC. The other partners each contribute $68,225 cash. The value of a one-fourth capital interest in the LLC (for each of the parties) is $68,225.
a. How much income does Wozniacki recognize as a result of this transaction, and what is its character?
b. How much is Wozniacki's basis in the LLC interest? How will Jewel LLC treat this amount?
Q2. Night Watch, a calendar year S corporation, distributes $127,300 cash to its only shareholder, Bill, on December 31. Prior to the distribution, Bill's basis in his stock is $152,760, Night Watch's AAA balance is $57,285, and Night Watch has $19,095 AEP. What is Bill's stock basis after the distribution?
|
Post transactions to the general ledger
: The Super Hero Theme Park was started on January 1 of the current year by Dr. Strange. Post transactions to the General Ledger
|
|
Calculate break-even in terms of dollars and number of units
: Using the information, calculate the Break-Even in terms of dollars and number of units. Sales price per unit - $100 and Product cost per unit (CoGS) - $25
|
|
What is the annual rate of interest on this loan
: These funds could count toward meeting any compensating balance requirements. What is the annual rate of interest on this loan
|
|
Traditional view of validity
: Which of the following statements by Drever (1952) describes the older, more traditional view of validity?
|
|
What is bill stock basis after the distribution
: Night Watch, a calendar year S corporation, distributes $127,300 cash to its only shareholder, Bill, on December 31. What is Bill stock basis after distribution
|
|
Implement solutions to range of computer vision applications
: Design and implement solutions to a range of computer vision applications and problems, and evaluate their effectiveness
|
|
How much was the company estimated direct labor-hours
: How much was the LLO-70418 company's estimated direct labor-hours used in the calculation of its predetermined overhead rate
|
|
Describe the process associated with planning
: Describe the process associated with planning, performing, and evaluating an audit data analytic. Discuss the ways in which data analytics can be used
|
|
Prepare its december closing entries
: Dividends $1,100; Services Revenue $19,000; Wages Expense $11,400; and Rent Expense $2,800. Prepare its December 31 closing entries
|