Business, 23.04.2020 04:27, quinten3700

On January 6 of the current year Paxton and Jackson form PJ LLC. Their contributions to the LLC are as follows:

Adjusted Basis Fair Market Value

From Paxton:

Cash $680,000 $680,000

Temporary investments $118,000 $120,000

Accounts receivable $0 $540,000

Inventory $840,000 $880,000

From Jackson:

Cash $1,850,000 $1,850,000

Supplies $370,000 $370,0

Required:

1. Within 30 days of formation, PJ collects the receivables and sells the inventory for $60,000 cash. How much income does PJ recognize from these transactions, and what is its character?

Answers: 2

Show answers

Other questions on the subject: Business

Business, 21.06.2019 19:00, Samzell

Minolta inc. is considering a project that has the following cash flow and wacc data. what is the project's mirr? note that a project's projected mirr can be less than the wacc (and even negative), in which case it will be rejected. wacc: 10.00% year 0 1 2 3 4 cash flows -$850 300 $320 $340 $360

Answers: 3

continue

Business, 22.06.2019 15:40, arigamez90

Aprice control is: question 1 options: a)a tax on the sale of a good that controls the market price. b)an upper limit on the quantity of some good that can be bought or sold. c)a legal restriction on how high or low a price in a market may go. d)control of the price of a good by the firm that produces it.

Answers: 1

continue

Business, 22.06.2019 21:40, goku4420

Inventory by three methods; cost of goods sold the units of an item available for sale during the year were as follows: jan. 1 inventory 20 units at $1,800 may 15 purchase 31 units at $1,950 aug. 7 purchase 13 units at $2,040 nov. 20 purchase 16 units at $2,100 there are 18 units of the item in the physical inventory at december 31. determine the cost of ending inventory and the cost of goods sold by three methods, presenting your answers in the following form: round your final answers to the nearest dollar. cost inventory method ending inventory cost of goods sold a. first-in, first-out method $ $ b. last-in, first-out method $ $ c. weighted average cost method $ $

Answers: 3

continue

Business, 23.06.2019 00:20, hdhdhd49jdhd

Barney corporation recognized a $100 million preferred stock balance on 12/31/2019. on january 1, 2020, barney issued $10 million in preferred dividends. on the same date, barney raised an additional $20 million via a new issuance of preferred stock. on december 31, 2020, the market value of the original amount of preferred shares rose $5 million. under us gaap, the 12/31/2020 year ending preferred stock balance is:

Answers: 3

continue

Do you know the correct answer?

On January 6 of the current year Paxton and Jackson form PJ LLC. Their contributions to the LLC are...