On January 17 of the current year, the Bamber Partnership was formed by Bob Miller, Carl...
On January 17 of the current year, the Bamber Partnership was formed by Bob Miller, Carl Penn, and Don Allen. Each partner has an equal interest in the capital and profits of the partnership. The Bamber partnership will report on the basis of a calendar year. The following contributions were made when the partnership was formed.
| Parter | Property | Basis to Partner | FMV |
| Bob | Cash | 15,000 | 15,000 |
| Carl | Inventory | 9,000 | 15,000 |
| Don | Captial Asset | 35,000 | 15,000 |
Both the inventory and capital asset are inventory to the Bamber partnership. On May 22 the partnership sells the inventory for $27,000. On July 19 the partnership sells the capital asset which Don contributed for $9,000. The partnership agreement is silent regarding the property contributed by the partners. Without regard to the sale of the contributed properties, the Bamber partnership reports $60,000 of ordinary income for its current tax year. As a result of partnership transactions, what does each partner report on his individual tax return for the current year?
Homework Answers
Add Answer to:
On January 17 of the current year, the Bamber Partnership was
formed by Bob Miller, Carl...
On October 1, 2018, Allan, Bob, and Carl formed the A, B and C partnership. Allan...
On October 1, 2018, Allan, Bob, and Carl formed
the A, B and C partnership. Allan contributed $ 28800; Bob, $
36000; and Carl, $ 55200. Allan will manage the store; Bob will
work in the store three-quarters of the time; and Carl will not
work in the business
Net income for the year ended September 30, 2019, is $ 102000.
The first $ 40000 is allocated on the basis of relative partner
capital balances. The next $ 23000 is...
> Question 19 of 75. Hailie, Lauryn, and Camee formed HL&C, a general partnership, as equal...
> Question 19 of 75. Hailie, Lauryn, and Camee formed HL&C, a general partnership, as equal partners. Hailie contributed $55,000 cash. Lauryn contributed and property with an adjusted basis of $20,000 and a FMV of $35,000. Camee contributed property with an adjusted basis of $43,000 and a dia ntributed $55,000 cash. Lauryn contributed $25,000 cash 43000 and a FMV of $55,000. The partnership made $30,000 m ordinary income for the year and there were no cash or property distributions. what...
Question 18 of 76. O For the tax year, ABC partnership reported a 560,000 ordinary loss...
Question 18 of 76. O For the tax year, ABC partnership reported a 560,000 ordinary loss and a $30,000 increase in recourse liabilities for which the partners are liable. Anne, a 50% partner, had an adjusted basis of 20.000 at the beginning of the year. What is Anne's allowable loss and her adjusted basis In ADG at the end of the year? O Allowable loss: $19,000. Adjusted basis: $1,000 O Allowable loss: $20,000. Adjusted basis: $0. O Allowable loss: $34,000....
Haley Lauren and timmie formed HL and see a general partnership is equal Partners Haley contributed...
Haley Lauren and timmie formed HL and see a general partnership is equal Partners Haley contributed 55,000 cash Lauren contributed 25,000 cash and property with adjusted basis of 25,000 and a fair market value of 35,000 Camille contributed property with adjusted basis of 43,000 and fair market value of 55000 the partnership May 90,000 and ordinary income for the year and there is no cash or property distribution what is Haley's ending tax Capital account 55,000 85,000 88,447 103,333
The STUV Partnership owns the following assets on December 30 of the current? year: Assets Partnership's...
The STUV Partnership owns the following assets on December 30 of the current? year: Assets Partnership's Basis FMV Cash $70,000 $70,000 Receivables 0 36,000 Inventory 112,000 160,000 Total $182,000 $266,000 The partnership has no? liabilities, and each? partner's basis in his or her partnership interest is $15,000.On December 30 of the current? year,Sally receives a current distribution of inventory having a $16,625 ?FMV, which reduces her partnership interest from? one-fourth to? one-fifth. Requirement What are the tax consequences of the...
1. True/ False The partnerships holding period for assets contributed to the partnership by a par...
1. True/ False The partnerships holding period for assets contributed to the partnership by a partner begins with the date the assets are contributed. 2. True/False A partner’s share of liabilities is generally based on her or his economic risk of loss in the case of recourse debt and loss-sharing ratio in the case of nonrecourse debt. 3. True/False A has been a partner in the ABC Partnership for only four months. During the current year, the partnership sold investment...
Nichole owns a 50% interest in partnership J&K. She contributed a computer system with a FMV...
Nichole owns a 50% interest in partnership J&K. She contributed a computer system with a FMV of $15,000 and an adjusted basis of $10,00U tU un partnership. Neither Nichole nor the partnership recognized any gain when the property was contributed. Which of the following is true regarding dhe partnership's basis in the computer system and Nichole's outside basis? O Partnership's basis in computer system - $10,000, Nichole's outside basis - increases by $10,000. Partnership's basis in computer system - $10,000,...
On January 1, 2017, the dental partnership of Angela, Diaz, and Krause was formed when the...
On January 1, 2017, the dental partnership of Angela, Diaz, and Krause was formed when the partners contributed $30,000, $58,000, and $60,000, respectively. Over the next three years, the business reported net income and (loss) as follows: 2017 $ 70,000 2018 42,000 2019 (25,000 ) During this period, each partner withdrew cash of $15,000 per year. Krause invested an additional $5,000 in cash on February 9, 2018. At the time that the partnership was created, the three partners agreed to...
Required information Justin and Lauren are equal partners in the PJenn Partnership. The partners formed the...
Required information Justin and Lauren are equal partners in the PJenn Partnership. The partners formed the partnership seven years ago by contributing cash. Prior to any distributions, the partners have the following bases in their partnership interests: (Leave no answer blank. Enter zero if appplicable.) Partner Justin Lauren Outside Basis $ 25, see $ 25,500 On December 31 of the current year, the partnership makes a pro rata operating distribution of Partner Justin Lauren Distribution Cash $29, see Cash $21,000...
A and B are equal partners in a personal services partnership. Each partner acquired her partners...
A and B are equal partners in a personal services partnership. Each partner acquired her partnership interest for cash several years ago. None of the partnership’s assets is Section 704(c) property. The partnership has the following balance sheet: Assets Liabilities and Partners’ Capital A.B. F.M.V. A.B.* F.M.V. Cash $13,000 $12,000 Liabilities: $2,000 Capital Assets: Capital: Collectibles 1,000 3,000 A $10,000 15,000 Other 6,000 2,000 B 10,000 15,000 Subtotal 7,000 5,000 Receivables 0 14,000 Total $20,000 $32,000 $20,000 $32,000 Consider the...
On October 1, 2018, Allan, Bob, and Carl formed
the A, B and C partnership. Allan contributed $ 28800; Bob, $
36000; and Carl, $ 55200. Allan will manage the store; Bob will
work in the store three-quarters of the time; and Carl will not
work in the business
Net income for the year ended September 30, 2019, is $ 102000.
The first $ 40000 is allocated on the basis of relative partner
capital balances. The next $ 23000 is...
> Question 19 of 75. Hailie, Lauryn, and Camee formed HL&C, a general partnership, as equal partners. Hailie contributed $55,000 cash. Lauryn contributed and property with an adjusted basis of $20,000 and a FMV of $35,000. Camee contributed property with an adjusted basis of $43,000 and a dia ntributed $55,000 cash. Lauryn contributed $25,000 cash 43000 and a FMV of $55,000. The partnership made $30,000 m ordinary income for the year and there were no cash or property distributions. what...
Question 18 of 76. O For the tax year, ABC partnership reported a 560,000 ordinary loss and a $30,000 increase in recourse liabilities for which the partners are liable. Anne, a 50% partner, had an adjusted basis of 20.000 at the beginning of the year. What is Anne's allowable loss and her adjusted basis In ADG at the end of the year? O Allowable loss: $19,000. Adjusted basis: $1,000 O Allowable loss: $20,000. Adjusted basis: $0. O Allowable loss: $34,000....
Nichole owns a 50% interest in partnership J&K. She contributed a computer system with a FMV of $15,000 and an adjusted basis of $10,00U tU un partnership. Neither Nichole nor the partnership recognized any gain when the property was contributed. Which of the following is true regarding dhe partnership's basis in the computer system and Nichole's outside basis? O Partnership's basis in computer system - $10,000, Nichole's outside basis - increases by $10,000. Partnership's basis in computer system - $10,000,...
Required information Justin and Lauren are equal partners in the PJenn Partnership. The partners formed the partnership seven years ago by contributing cash. Prior to any distributions, the partners have the following bases in their partnership interests: (Leave no answer blank. Enter zero if appplicable.) Partner Justin Lauren Outside Basis $ 25, see $ 25,500 On December 31 of the current year, the partnership makes a pro rata operating distribution of Partner Justin Lauren Distribution Cash $29, see Cash $21,000...
Most questions answered within 3 hours.
-
Required information
[The following information applies to the questions
displayed below.]
In 2019, Alliant Corporation acquired...
asked 2 minutes ago -
How much must I invest today if I want to withdraw 1/3 of my
original investment...
asked 2 hours ago -
What is meant by a “term premium”?
What can explain such a premium? Is it a...
asked 3 hours ago -
23. Which molecule has only covalent bonds? A. CO2 B. Al2O3 C.
Mg3N2
24. The octet...
asked 4 hours ago -
the
total pressure for a mixture of N2O4 and NO2 is 2.20 atm. If Kp=
7.10...
asked 4 hours ago -
Delaware Corp. prepared a master budget that included $22,385
for direct materials, $28,600 for direct labor,...
asked 4 hours ago -
For pesticide HCB (hexachlorobenzene), its logarithmic partition
coefficient log Kow is 5.6. What would be the...
asked 4 hours ago -
A chemist requires 0.422 mil Na2CO3 for a reaction. How many
grams does this correspond to?
asked 4 hours ago -
If the vapor pressure of carvone is approximately 9.4 torr at 99
°C, approximately how much...
asked 4 hours ago -
A juice bottling company is carrying out a test at 10%
significance that the mean population...
asked 4 hours ago -
What is the reflectivity (in percent) needed to keep water at a
temperature near its freezing...
asked 4 hours ago -
Suppose that the average surface temperature of Earth is 300K.
Assume this is uniform over its...
asked 4 hours ago