Dede62061 Dede62061

19-12-2022
Business

Answered

On January 2 of the current year, Fenton and Myers form the FM LLC. Their contributions to the LLC are as follows:
Adjusted Basis Fair Market Value
From Fenton:
Cash $ 50,000 $ 50,000
Accounts receivable –0– 90,000
Inventory 25,000 60,000
From Myers:
Cash 200,000 200,000
Within 30 days of formation, FM collects the receivables and sells the inventory for $60,000 cash. How much income does FM recognize from these transactions, and what is its character?

Answer :

Other Questions

Determine Net Sales, Cost of goods sold and Net Income. Additional information follows: • Return on total assets is 16% (average total assets is $68,750). • Inv

Raul's company wants to be able to deposit as much of its cash as it can so it will earn higher interest rates. to do this, it should place the cash _______.

Merchandise is sold on credit for $600 plus 5 percent sales tax. the journal entry to record the sale will include a debit to accounts receivable for: $600.00 $

The most important category of assets on a bank's balance sheet is: A) discount loans. B) securities. C) loans. D) cash items in the process of collection.

Using the table below, calculate GDP using the expenditure approach. Wages and salaries $800 Consumption spending $1,000 Rent $100 Government purchases $200 Pro

Consider the following information on returns and probabilities: State Probability X Z Boom .25 15% 10% Normal .60 10% 9% Recession .15 5% 10% What is the stand

The following information is available for the Oil Creek Corporation. Accounts receivable $19,000. Sales $195,000. Current assets $36,000. Total assets $147,000

Turner company owns 15% of the outstanding stock of ica company. during the current year, ica paid a $5.50 million cash dividend on its common shares. What effe

Concord corporation issues 7,300 shares of $100 par value preferred stock for cash at $106 per share. journalize the issuance of the preferred stock.

Which of the following key organizational elements are unique to the fulfillment process? a. Sales area b. Credit control area c. Client d. Shipping point e. Pl