Questions from Federal Taxation

Q: Honre Corporation's warehouse and Filip Company's office building were located side by

Honre Corporation's warehouse and Filip Company's office building were located side by side until a fire raced through both structures, completely destroying them. The warehouse has an adjusted basis...

Q: Which of the following transfers meet the exchange requirement for deferral under

Which of the following transfers meet the exchange requirement for deferral under like-kind exchange provisions? a. Bonita sells her rental condominium in Park City and uses the proceeds as a down pay...

Q: Which of the following exchanges of property are like-kind exchanges

Which of the following exchanges of property are like-kind exchanges? a. Land traded for an airplane. b. A warehouse used in a trade or business exchanged for land to be used as a personal residence....

Q: Which of the following exchanges of property are like-kind exchanges

Which of the following exchanges of property are like-kind exchanges? a. Horace trades his personal use auto for another personal use auto. b. Lian trades an office building she rents out for a wareho...

Q: Mayfair Corporation exchanges a machine with a fair market value of $

Mayfair Corporation exchanges a machine with a fair market value of $15,000 and an adjusted basis of $10,000 for land in Nevada with a fair market value $15,000. Does Mayfair have a recognized gain o...

Q: Return to the facts of problem 22. Assume that Mayfair Corporation

Return to the facts of problem 22. Assume that Mayfair Corporation exchanges its machine for another machine worth $18,000. a. How much boot must be paid to make the exchange, and who must pay the...

Q: Jalapeno Company trades in its old delivery van for a new delivery

Jalapeno Company trades in its old delivery van for a new delivery van. The old van cost $22,000 and has an adjusted basis of $15,000. Jalapeno is given a $13,000 trade-in allowance on the new van a...

Q: Pauline's Pastry Shop decides to remodel its offices this year. As

Pauline's Pastry Shop decides to remodel its offices this year. As part of the remodeling, Pauline's trades furniture with a cost of $12,000 that had been expensed in the year of purchase (Section 17...

Q: Explain the lookback rule as it applies to the Section 1231 netting

Explain the lookback rule as it applies to the Section 1231 netting procedure.

Q: Beaver Corporation owns a parcel of land with a fair market value

Beaver Corporation owns a parcel of land with a fair market value (FMV) of $75,000 and a basis of $40,000. Beaver exchanges the land for a building with a FMV of $65,000. The corporation also receiv...