ver the last 6 months, Rohan acquired the following assets: an engagement ring which cost $5,000 a ceramic antique vase (for $3,000), a painting (for $8,500), a Television (for $15,000), Australia Bank’s shares (for $5,000). Last week he sold these assets as follows: an engagement ring which cost $6,000 a ceramic antique vase (for $1,000), a painting (for $2,500), a Television (for $11,000) and Australia Bank’s shares (for $25,000) Calculate his net capital gain or net capital loss for the year.
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Over the last 6 months, Rohan acquired the following assets:
- an engagement ring which cost $5,000
- a ceramic antique vase (for $3,000),
- a painting (for $8,500),
- a Television (for $15,000),
- Australia Bank’s shares (for $5,000).
Last week he sold these assets as follows:
- an engagement ring which cost $6,000
- a ceramic antique vase (for $1,000),
- a painting (for $2,500),
- a Television (for $11,000) and
- Australia Bank’s shares (for $25,000)
Calculate his net
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- Karl bought a building and the land on which it is located for $186,100 cash. The land is estimated to represent 65 percent of the purchase price. The company paid $33,100 for building renovations before it was ready for use. When preparing a journal entry to record all expenditures, the debit to Building would be: $_______Mr. Gaetano has sold a number of assets in the current year: An extensive coin collection, which has a current FMV of $23,500. The total cost of acquiring the coins is $17,600. There were no selling costs. A rare 17th-century manuscript he inherited from his mother. His mother paid $4,000 for the manuscript, which had an estimated FMV of $42,000 at the time of her death. Since several copies of the same manuscript have been found (since her death), and so he had to sell it for $8,500. A Lawren Harris oil painting that he acquired for $275,000. The painting sold for $350,000 and the auction house charged a commission of 20% on the sales price. REQUIRED: calculate the capital gain or loss for each. Also, indicate which type of property this would be considered.Assume that in January 20X6, a Hotcake House restaurant purchased a building, paying $57,000 cash and signing a $108,000 note payable. The restaurant paid another $60,000 to remodel the bui and fixtures cost $54,000, and dishes and supplies-a current asset-were obtained for $10,200. Hotcake House is depreciating the building over 20 years by the straight-line method, with estimate value of $55,000 The fumiture and fixtures will be replaced at the end of five years and are being depreciated by the double-declining-balance method, with zero residual value. At the end of the first restaurant still has dishes and supplies worth $1,900. Requirement 1. Show what the restaurant will report for supplies, PPE, and cash flows at the end of the first year on its. • Income Statement • Balance Sheet • Statement of Cash Flows (investing only) Note The purchase of dishes and supplies is an operating cash flow because supplies are a current asset. Requirement 1. Show what the restaurant will report…
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