Principles Of Taxation For Business And Investment Planning 2020 Edition
23rd Edition
ISBN: 9781259969546
Author: Sally Jones, Shelley C. Rhoades-Catanach, Sandra R Callaghan
Publisher: McGraw-Hill Education
expand_more
expand_more
format_list_bulleted
Question
Chapter 9, Problem 31AP
a.
To determine
Calculate Person J’s realized and recognized loss on sale assuming that Person J purchased 200 shares of Person M on October 1 for $190 per share.
b.
To determine
Calculate Person J’s realized and recognized loss on sale assuming that Person J purchased 100 shares of Person M on October 1 for $180 per share.
c.
To determine
Calculate Person J’s tax basis in the 200 shares of Person M purchased in part (a).
d.
To determine
Calculate Person J’s tax basis in the 100 shares of Person M purchased in part (b).
Expert Solution & Answer
Want to see the full answer?
Check out a sample textbook solution
Students have asked these similar questions
Ten years ago, Ms. Dee purchased 1,300 shares of Fox common stock for $129 per
share. On June 2 of the current year she sold 550 shares for $97 per share.
Compute Ms. Dee's recognized loss on sale assuming that:
Required:
a. She purchased 650 shares of Fox common stock on June 28 for $99 per share.
b. She purchased 650 shares of Fox common stock on August 10 for $104 per share.
c. Compute Ms. Dee's tax basis in the 650 shares purchased in part a.
d. Compute Ms. Dee's tax basis in the 650 shares purchased in part b.
Amount
a. Recognized loss
b. Recognized loss
c. Tax basis
d. Tax basis
Connell purchased 300 shares of Zooco stock for $31,000, 20 years ago. On May 23 of the current year, Connell sold all the stock to his sister Anna for $22,000, its then fair market value. Connell realized no other gain or loss during the year. On July 26 of the current year, Anna sold the 300 shares of Zooco for $26,000.
What was Anna's recognized gain or loss on her sale?
No gain or loss recognized
$4,000 long-term gain
$5,000 long-term loss
$5,000 short-term loss
$4,000 short-term gain
Maria purchased 100 shares of JAX stock for $30 per share and sold this same stockone year later for $29 per share. She paid commissions of $50 when she purchasedthe stock and $45 when she sold the stock. Dividends of $2 per share were paidduring the year. The capital loss on this stock transaction was?
Chapter 9 Solutions
Principles Of Taxation For Business And Investment Planning 2020 Edition
Ch. 9 - Prob. 1QPDCh. 9 - Prob. 2QPDCh. 9 - Prob. 3QPDCh. 9 - Prob. 4QPDCh. 9 - Prob. 5QPDCh. 9 - Prob. 6QPDCh. 9 - Prob. 7QPDCh. 9 - Prob. 8QPDCh. 9 - Prob. 9QPDCh. 9 - Explain the difference between a substituted basis...
Ch. 9 - Prob. 11QPDCh. 9 - Prob. 12QPDCh. 9 - Prob. 13QPDCh. 9 - Prob. 14QPDCh. 9 - Prob. 15QPDCh. 9 - Prob. 1APCh. 9 - Prob. 2APCh. 9 - Prob. 3APCh. 9 - Prob. 4APCh. 9 - Prob. 5APCh. 9 - Prob. 6APCh. 9 - This year, Neil Inc. exchanged a business asset...Ch. 9 - Prob. 8APCh. 9 - Prob. 9APCh. 9 - XYZ exchanged an old building for a new like-kind...Ch. 9 - Prob. 11APCh. 9 - Prob. 12APCh. 9 - Prob. 13APCh. 9 - Prob. 14APCh. 9 - Prob. 15APCh. 9 - Prob. 16APCh. 9 - Prob. 17APCh. 9 - Prob. 18APCh. 9 - Prob. 19APCh. 9 - On October 18 of last year, a flood washed away...Ch. 9 - Prob. 21APCh. 9 - Prob. 22APCh. 9 - Prob. 23APCh. 9 - Mr. ZJ owns a sole proprietorship. The business...Ch. 9 - Prob. 25APCh. 9 - Prob. 26APCh. 9 - Prob. 27APCh. 9 - Prob. 28APCh. 9 - Prob. 29APCh. 9 - Prob. 30APCh. 9 - Prob. 31APCh. 9 - Prob. 32APCh. 9 - Prob. 33APCh. 9 - Prob. 34APCh. 9 - Prob. 1IRPCh. 9 - Prob. 2IRPCh. 9 - Prob. 3IRPCh. 9 - Prob. 4IRPCh. 9 - Prob. 5IRPCh. 9 - Prob. 6IRPCh. 9 - Prob. 7IRPCh. 9 - Prob. 8IRPCh. 9 - Prob. 9IRPCh. 9 - Prob. 10IRPCh. 9 - Prob. 1RPCh. 9 - Prob. 2RPCh. 9 - Prob. 3RPCh. 9 - Prob. 1TPCCh. 9 - Prob. 2TPCCh. 9 - Prob. 3TPCCh. 9 - Croyden is a calendar year, accrual basis...
Knowledge Booster
Similar questions
- Conner purchased 300 shares of Zinco stock for 30,000 in year 1. On May 23, year 6, Conner sold all the stock to his daughter Alice for 20,000, its then fair market value. Conner realized no other gain or loss during year 6. On July 26, year 6, Alice sold the 300 shares of Zinco for 25,000. What was Alices recognized gain or loss on her sale? a. 0 b. 5,000 long-term gain c. 5,000 short-term loss d. 5,000 long-term lossarrow_forwardOn April 18, 2020, Jane Juniper purchased 30 shares of Bryan Corp. stock for $210, and on September 29, 2020, she purchased 90 additional shares for $900. On November 28, 2020, she sold 48 shares, which could not be specifically identified, for $576 and on December 8, 2020, she sold another 25 shares for $188. What is her recognized gain or loss?arrow_forwardThree years ago, Matthew purchased 250 shares of stock in T Corporation for $14,000. On December 5 of year 4, Matthew sells the 250 shares for $15,500. Part - a a. What is Matthew's capital gain or loss from the sale on December 5 of year 4? Part-bb. Assuming Matthew has no other capital gains or losses, except that on October 15 of year 5, Matthew purchases 250 shares of T Corporation stock for $15, 200. How much gain or loss from the sale on December 5 of year 4 is taxable on Matthew's year 4 tax return? What basis does Matthew take in the stock purchased on October 15 of year 5? ***This question already posted and got correct answer. Don't answer this questionarrow_forward
- Erin purchased stock in JKL Corporation several years ago for $8,750. In the current year, she sold the same stock for $12,800. She paid a $200 sales commission to her stockbroker. 1. What is Erin's amount realized?$fill in the blank 1 2. What is Erin's adjusted basis?$fill in the blank 2 3. What is Erin's realized gain or loss?$fill in the blank 3 gain 4. What is Erin's recognized gain or loss?$fill in the blank 5 gain 5. How is the gain or loss treated for tax purposes (if any)? Because the stock has been held for more than a year, there is . It will be taxed at , depending on the taxpayer's income.arrow_forwardThree years ago, Jennifer purchased 280 shares of stock in M Corporation for $22, 400. On May 15 of year 4, Jennifer sells the 280 shares for $26, 100. Part-aa. What is Jennifer's capital gain or loss from the sale on May 15 of year 4? Part-bb. Assuming Jennifer has no other capital gains or losses, except that on March 5 of year 5, Jennifer purchases 280 shares of M Corporation stock for $25, 000. How much gain or loss from the sale on May 15 of year 4 is taxable on Jennifer's year 4 tax return? What basis does Jennifer take in the stock purchased on March 5 of year 5***This question already posted and got correct answer. Don't answer this question If you answerarrow_forwardDeirdre sold 146 shares of stock to her brother, James, for $4,380. Deirdre purchased the stock several years ago for $5,986. What amount of gain or loss does James recognize if he sells the stock for $5,256 and $4234 respectively?arrow_forward
arrow_back_ios
arrow_forward_ios
Recommended textbooks for you
Individual Income TaxesAccountingISBN:9780357109731Author:HoffmanPublisher:CENGAGE LEARNING - CONSIGNMENT
Individual Income Taxes
Accounting
ISBN:9780357109731
Author:Hoffman
Publisher:CENGAGE LEARNING - CONSIGNMENT