Chapter 4 in-class problems-completed

Chapter 4 in-class problems-completed - 29 a 10,800 (300)...

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29 a 10,800 (300) accrued interest received (this is ordinary interest i 10,500 selling price of the bond itself (10,000) less Olga's cost 500 Capital gain b No income to Olga, stock was not sold, loan proceeds are not c Unrealized gains are not recognized for tax purposes. 35 2009 2010 a 800 - b 800 - c - 800 36 a $10,000 * 5% * 6/12 = 250 b $10,000 * 4% = 400 $10,400 * 4% = 416 816 Assuming original cost of the CD was $10,000 c $2,975 interest income to be recognized in 2009 unless Marlen increment (interest) each year during the holding period of the 39 Rent Damage 400 400 800 - - 800 The third option, all damage deposit, results in no current tax li 40 100,000 Salary 3,000 interest income 15,000 Salary from wholly owned corporation 118,000 Tracy Corp. 41 a 2009 - 3,000 b 2009 - 3,000 c 2009 - -
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42 210000 partnership income after deducting all insurance p 1800 add back the premiums on the lives of the partners 211,800 revised taxable income to be reported by the partn 3 number of equal partners 70,600 taxable income to be reported by each partner 43 a 55,000 Amur 25,000 12,000 Grape 35% 67,000 qualified dividends 8,750 15% 10,050 tax 10,050 8,750 18,800 total incom b 1,000 Grape qualified dividends 0% tax rate - tax AL bond Rate of return 5% multiply by 1-tax rate 65% after-tax rate of return
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This note was uploaded on 03/19/2011 for the course ACCT 4 taught by Professor Berry during the Spring '11 term at Old Dominion.

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Chapter 4 in-class problems-completed - 29 a 10,800 (300)...

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