Questions from Federal Taxation

Q: Guerda owns 1,500 shares of Ditchdirt common stock. During

Guerda owns 1,500 shares of Ditchdirt common stock. During the current year, she sells 500 shares of the stock for $15 per share and pays a commission of $300 on the sale. Guerda had purchased the 1...

Q: Return to the facts of problem 29. Assume that Guerda later

Return to the facts of problem 29. Assume that Guerda later sells an additional 200 shares of the Ditchdirt stock for $20 per share, paying a commission of $600 on the sale. What is her gain or loss...

Q: Return to the facts of problem 29. Assume that Guerda sells

Return to the facts of problem 29. Assume that Guerda sells the remaining 800 shares of Ditchdirt stock for $10 per share and pays a commission of $400 on the sale. What is her gain or loss on the s...

Q: Return to the facts of problem 29. What tax-planning

Return to the facts of problem 29. What tax-planning strategy can be used to achieve more favorable tax results? Use this strategy to determine Guerda's gain or loss on the sale. Data from Problem...

Q: Classify each of the following assets as ordinary income property, capital

Classify each of the following assets as ordinary income property, capital asset property, Section 1231 property, or personal use property. If more than one classification is possible, explain the ci...

Q: Classify each of the following assets as ordinary income property, capital

Classify each of the following assets as ordinary income property, capital asset property, Section 1231 property, or personal use property. If more than one classification is possible, explain the ci...

Q: Spencer purchases 100 shares of Reality Virtual Corporation common stock for $

Spencer purchases 100 shares of Reality Virtual Corporation common stock for $1,200 on July 30, 2017. He sells 75 shares of this stock for $525 on December 27, 2017. On January 12, 2018, Spencer pur...

Q: Mort begins investing in stocks in 2016. Listed here are his

Mort begins investing in stocks in 2016. Listed here are his stock transactions for 2016 and 2017. Determine Mort's gain or loss on his stock transactions for 2016 and 2017. In addition, for each s...

Q: For each of the following capital asset dispositions, determine whether the

For each of the following capital asset dispositions, determine whether the taxpayer has realized a gain or loss on the disposition and whether that gain or loss is short-term or long-term: a. Ari rec...

Q: For each of the following capital asset dispositions, determine whether the

For each of the following capital asset dispositions, determine whether the taxpayer has realized a gain or loss and whether that gain or loss is short-term or long-term: a. Larry's aunt June dies on...