On she sold 48 shares which could not be specifically

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29, 2012, she purchased 90 additional shares for $900. On November 28, 2012, she sold 48 shares,which could not be specifically identified, for $576, and on December 8, 2012, she sold another 25shares for $150. What is her recognized gain or loss? Words: 1649
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ACCT 553 Week 8 Final Exam Set 1 review this product no reviews. be the first to write one! 1. (TCO E) Which of the following is not a passive activity? (Points : 5) 2. (TCO D) Tom Tanner traded in a printing press with an adjusted basis of $20,000 for a smaller press valued at $12,000. In addition to the smaller press, Tom received $3,000 in cash and was relieved of the existing liability of $5,000 on the old press. What is Tom's recognized gain? (Points : 5) 3. (TCO H) Bob and Susan file a joint return for the 2010 tax year. Their adjusted gross income is $80,000. They had a net investment income of $9,000. In 2010, they had the following interest expenses.Personal credit card interest: $5,000Home mortgage interest: $10,000Investment interest (on loans used to buy stocks): $10,000What is the interest deduction for Bob and Susan for the 2010 tax year? (Points : 5) 4. (TCO B) Mike and Mindy Miller paid the following medical expenses during the year (all in excess of reimbursement).Hospital and doctor bills: $840Medicine and drugs: $730Hospitalization insurance premiums: $6,200Medicine and drugs (for dependent mother, age 71): $1,060Assuming that the Millers' adjusted gross income was $50,000, how much of a medical expense deduction may the Millers claim on their joint return? (Points : 5) 5. (TCO A) The following taxes were paid by Adam Smith. Real estate taxes on his home: $3,000State income taxes: $900Cigarette taxes: $500State gasoline tax (personal use of automobile): $150Social security tax (withheld from wages): $5,500Penalty on tax underpayment: $800In itemizing his deductions, what is the amount that Adam may claim as a deduction for taxes? (Points : 5) 6. (TCO E) Josh sold a piece of business equipment that had an adjusted basis to him of $50,000. In return for the equipment, Josh received $60,000 cash and a painting with a fair market value of $20,000 from the buyer. The buyer also assumed Josh's $25,000 loan on the equipment. Josh paid $5,000 in selling expenses. What is the amount of Josh's gainon the sale? (Points : 5)
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7. (TCO I) In October of 2011, David and Betty Bennett sold their residence for $400,000. They purchased it in 2000 for $200,000. They made major capital improvements during their 10-year ownership, which totaled $80,000.What is their recognized gain? (Points : 5) 8. (TCO I) Which of the following entities may select any tax period (calendar or fiscal)? (Points : 5) 9. (TCO D) For 2011, Greg Grammer had a short-term capital loss of $4,000, a short-term capital gain of $1,900, a short-term capital loss carryover from 2010 of $700, a long-term capital gain of $800, and a long-term capital loss of $1,000. What is Greg's deductible loss in 2011? (Points : 5) 10. (TCO A) The term "Practice before the IRS" refers to _____. (Points : 5) 11. (TCO F) To be deductible for tax purposes, a trade or business expenditure must be _____. 12. (TCO A) The art of using existing tax laws to pay the least amount of tax legally possible is known as _____. (Points : 5) 13. (TCO C) Which of the following items is not subject to federal income tax? (Points : 5) 14. (TCO B) Sam owes Bob $8,000. Bob cancels (forgives) the debt. The cancellation is
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