Nicholas is a 25% owner in the DDBN LLC (a calendar year entity). At the end of the last tax year, Nicholasâsbasis in his interest was $50,000, including his $20,000 share of LLC liabilities. On July 1 of the current tax year, Nicholas sells his LLC interest to Anna for $80,000 cash. In addition, Anna assumes Nicholasâs share of LLC liabilities, which, at that date, was $15,000. During the current tax year, DDBNâs taxable income is $120,000 (earned evenly during the year). Nicholasâs share of the LLCâs unrealized receivables is valued at $6,000 ($0 basis). At the sale date, what is Nicholasâs basis in his LLC interest, how much gain or loss must he recognize, and what is the character of the gain or loss?a. $45,000 basis; $6,000 ordinary income; $44,000 capital gain. b. $60,000 basis; $6,000 ordinary income; $29,000 capital gain. c. $60,000 basis; $35,000 capital gain. d. $75,000 basis; $0 ordinary income; $20,000 capital gain. e. $75,000 basis; $6,000 ordinary income; $14,000 capital gain.

Azster inc. recorded sales revenue for the year that ended december 31, 2014 as $67,000. interest revenue of $5,300 and expenses of $14,000 were also recorded for the same period. what is aster’s net profit or loss?

Your father offers you a choice of $120,000 in 11 years or $48,500 today. use appendix b as an approximate answer, but calculate your final answer using the formula and financial calculator methods. a-1. if money is discounted at 11 percent, what is the present value of the $120,000?

Costco wholesale corporation operates membership warehouses selling food, appliances, consumer electronics, apparel and other household goods at 471 locations across the u. s. as well as in canada, mexico and puerto rico. as of its fiscal year-end 2005, costco had approximately 21.2 million members. selected fiscal-year information from the company's balance sheets follows. ($ millions). selected balance sheet data 2005 2004 merchandise inventories $4,015 $3,644 deferred membership income (liability) 501 454 (a) during fiscal 2005, costco collected $1,120 cash for membership fees. use the financial statement effectstemplate to record the cash collected for membership fees. (b) in 2005, costco recorded $46,347 million in merchandise costs (that is, cost of goods sold). record thistransaction in the financial statement effects template. (c) determine the value of merchandise that costco purchased during fiscal-year 2005. use the financial statementeffects template to record these merchandise purchases. assume all of costco's purchases are on credit.