The rko partnership has the following balance sheets

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4. The RKO Partnership has the following balance sheets at December 31: Basis FMV Cash $15,000 $15,000 Accounts Receivable 0 36,000 Inventory 22,000 40,000 Land 140,000 95,000 $177,000 $186,000 Capital, R $59,000 $62,000 Capital, K 59,000 62,000 Capital, O 59,000 62,000 $177,000 $186,000 On that date, O sells his interest in the partnership to unrelated buyer G for $62,000. a. How much gain or loss will O recognize in connection with the sale to G?
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Practical Guide to Partnerships and LLCs—Instructor’s Guide Solutions 7 b. What will be the character of O’s gain or loss?
5. The DEF partnership has the following balance sheets: Basis FMV Land $40,000 $52,000 Inventory $20,000 $40,000 Unrealized Rec. $0 $10,000 Liabilities $12,000 $12,000 Capital, D $16,000 $30,000 Capital, E $16,000 $30,000 Capital, F $16,000 $30,000 $60,000 $102,000 If partner D sells his partnership interest (holding period = two years) to G for $30,000 cash, how much income will D recognize, and what will be its character?
6. The XYZ partnership has the following balance sheet: Basis FMV Land $60,000 $51,000 Accounts Receivable 0 15,000 Inventory 24,000 45,000 Collectibles 3,000 9,000 $87,000 $120,000 Liabilities $30,000 $30,000 ©2015 CCH Incorporated. All Rights Reserved.
Practical Guide to Partnerships and LLCs—Instructor’s Guide Solutions 8
If X sells her partnership interest to W for $30,000 cash, what is her gain or loss, and what is its character?

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