Problem 13 - 10
For the December 31, 2014, Windsor Airlines should report on their financial statements loss
and liability, due to the date occurrence, which took place prior to the financial statement, as
well as, for the reason of estimable pro
Price of Items Sold
Long-term capital gain
Long-term capital loss
Foods and expenditures
Total Usual Income
What is an inadvertent termination of an S election? How does an S corporation and its shareholders
rectify an inadvertent termination? What could happen if a company fails to rectify the termination?
The general definition of an S corporation includes re
ACC 340 Entire Class (Accounting Information System1)
ACC 340 Week 1 Individual Assignment: The Effects of Technology on the Accounting
Bruce and Bob organize Black LLC on May 10 of the current year. What is the entitys default tax classification? Are any alternative
classification(s) available? If so, (1) how do Bruce and Bob elect the alternative classification(s) and (2) what are the t
a. Does the transaction meet the requirements of Sec. 351?
No, this transaction does not meet the requirements of Sec. 351. The transferors
of property Eric owns is 50%.
Eric - 500; Total # of Common Shared Issued 1000
500 / 1000 = .50 = 50%
a. Does the transaction satisfy the requirements of Sec. 351?
Yes, the transaction satisfies the requirements of Sec. 351. The transferors of property of the
Bear Stock own 88.2%.
Alice 400, Bob 300, Carla 50; Total # of Common Shared Issued
1) Which of the following statements regarding proposed regulations is not correct?
Proposed and temporary regulations are generally issued simultaneously.
Proposed regulations do not provide any insight into the IRSs interpretation of the tax
1) Regulations are:
A. equal in authority to legislation if interpretative
B. equal in authority to legislation if statutory
C. equal in authority to legislation
D. presumed to be valid and to have almost the same weight as the
2) Identify which of th
Week Two Problem Set
September 31, 2015
C:2-3 Bruce and Bob organize Black LLC on May 10 of the current year.
What is the entitys default tax classification?
A limited liability company has a default tax classification
How does a corporation compute earnings and profits?
Earnings and profits, per the tax code, are a business capacity to declare and pay dividends without reducing paid-in
capital. There are two types of earnings and profits; 1) Accumulated, which is the e
C:6-5 Compare the tax consequences to the shareholder and the distributing corporation of the following
three kinds of corporate distributions: ordinary dividends, stock redemptions, and complete liquidations.
Ordinary dividends are treaded as ordinary in
Tax Return Position Paper
September 14, 2015
Tax Return Position Paper
There can be many reasons for a taxpayer to take a specific position on items filed with
their tax returns. However, it can be difficult to defend t
Sue and Bill plan to open an accounting firm and expect to work full time in the firm. They expect to incur a
small loss during their first year of operation and expect to be profitable after the first year. What are the tax
law requirements for structuri
What is a liquidating distribution? What is a non-liquidating distribution? Provide an example of each.
A liquidating distribution is a distribution in which a partner completely terminates their interest in a
partnership. This transaction can be done as
Comparison of Entity Formations
Cara, Bob, and Steve want to begin a business on January 1, 2009. The individuals are considering three business
forms C corporation, partnership, and S corporation.
Cara has investment land with a $36,000 adjusted
C:3-37 Charitable Contributions of Property
Blue Corporation donates the following property to Johnson Elementary School:
XYZ Corporation stock purchased two years ago for $25,000. The stock has a $19,000 FMV on the contribution
Computer equipment b