Hauswirth Corporation sold (or exchanged) a warehouse in year 0. Hauswirth bought the warehouse several years ago for $65,500 and it has claimed $25,400 of depreciation expense against the building. (Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Round your final answers to the nearest whole dollar amount.)
Required:
recognized | |
character of recognized gain/ loss | |
ordinary gain/ loss | |
1231 gain / loss |
gain realized | |
gain recognized | |
deferred gain | |
adjusted basis in new property |
description | amount | character |
amount realized | ||
original basis | ||
accumulated depreciation | ||
adjusted basis | ||
gain realized | ||
depreciation recapture | ordinary income | |
gain eligible for installment reporting | ||
gross profit percentage | ||
installment gain in year 0 | section 1231 gain | |
installment gain in year 1 | section 1231 gain |
Hauswirth Corporation sold (or exchanged) a warehouse in year 0. Hauswirth bought the warehouse several years...
Hauswirth Corporation sold (or exchanged) a warehouse in year 0. Hauswirth bought the warehouse several years ago for $84,500 and it has claimed $39,400 of depreciation expense against the building. (Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Round your final answers to the nearest whole dollar amount.) Required: a. Assuming that Hauswirth receives $58,200 in cash for the warehouse, compute the amount and character of Hauswirth's recognized gain or loss...
Hauswirth Corporation sold (or exchanged) a warehouse in year 0. Hauswirth bought the warehouse several years ago for $67,000 and it has claimed $33,000 of depreciation expense against the building. (Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Round your final answers to the nearest whole dollar amount.) Required: a. Assuming that Hauswirth receives $47,300 in cash for the warehouse, compute the amount and character of Hauswirth's recognized gain or loss...
Hauswirth Corporation sold (or exchanged) a warehouse in year O. Hauswirth bought the warehouse several years ago for $113,500 and it has claimed $33,800 of depreciation expense against the building. (Loss amounts should be indicated by a minus sign. Leave no answer blank. Enter zero if applicable. Round your final answers to the nearest whole dollar amount.) Required uswirth receives $88,500 in cash for the warehouse, compute the amount and character of Hauswirth's a. Assuming that Ha recognized gain or...
Ken sold a rental property for $860,000. He received $128,000 in the current year and $183,000 each year for the next four years. Of the sales price, $582,500 was allocated to the building and the remaining $277,500 was allocated to the land. Ken purchased the property several years ago for $660,000. When he initially purchased the property, he allocated $570,000 of the purchase price to the building and $90,000 to the land. Ken has claimed $15,000 of depreciation deductions over...
Firm OCS sold business equipment with a $24.500 Initial cost basis and $11,365 accumulated tax depreciation. In each of the following cases, compute OCS's recaptured ordinary income and Section 1231 gain or loss on sale. (Losses should be indicated with a minus sign. Leave no cell blank. Enter "O" for cells that do not have an amount.) a. Amount realized was $10.900. b. Amount realized was $13,900. c. Amount realized was $18.400. d. Amount realized was $27.900. X Answer is...
Moran owns a building he bought during year 0 for $200,000. He sold the building in year 6. During the time he held the building he depreciated it by $54,500. What is the amount and character of the gain or loss Moran will recognize on the sale in each of the following alternative situations? (Loss amounts should be indicated by a minus sign. Enter NA if a situation is not applicable. Leave no answer blank. Enter zero if applicable.) b....
In year 0, Javens Inc. sold machinery with a fair market value of $560,000 to Chris. The machinery's original basis was $439,320 and Javens's accumulated depreciation on the machinery was $66.000, so its adjusted basis to Javens was $373,320. Chris paid Javens $56,000 immediately (in year O) and provided a note to Javens indicating that Chris would pay Javens $84.000 a year for six years beginning in year 1. a. What are the amount and character of the gain...
Firm OCS sold business equipment with a $21,500 initial cost basis and $8,665 accumulated tax depreciation. In each of the following cases, compute OCS's recaptured ordinary income and Section 1231 gain or loss on sale. (Losses should be indicated with a minus sign. Leave no cell blank. Enter "O" for cells that do not have an amount.) a. Amount realized was $10,300. b. Amount realized was $13,300. c. Amount realized was $17,800. d. Amount realized was $24,300. a. Recaptured ordinary...
ABC Corporation, a calendar-year C corporation, sold several business-use assets during the current year. Information regarding the asset sales is provided below. The company purchased these assets more than one year ago. The building and warehouse were depreciated using the straight-line method. In the table below, enter the following: 1. amounts of recognized gain(loss); 2. Section 1245 and 1250 recapture; and 3. Section 1231 gain (loss) for each asset sold during the year. Enter gains as positive amounts and losses...
In year 0, Javens Inc. sold machinery with a fair market value of $480,000 to Chris. The machinery's original basis was $378,480 and Javens's accumulated depreciation on the machinery was $58,000, so its adjusted basis to Javens was $320,480. Chris paid Javens $48,000 immediately (in year O) and provided a note to Javens indicating that Chris would pay Javens $72,000 a year for six years beginning in year 1. a. What are the amount and character of the gain that...