You are the sole owner of a beachfront property in florida consisting of 1 building with 4 housing units and 10 acres of land, of the 10 acres 3 of them are beachfront sand.After a tropical storm the beach front property has suffered from erosion and the beachfront sand diminished by 20%. Your property is now at risk of flooding and is asmaller land size than when you originally bought it. 1. Present these changes and losses in a balance sheet, explain the losses.

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Answered: You are the sole owner of a beachfront…

Income Tax Fundamentals 2020

38th Edition

ISBN:9780357391129

Author:WHITTENBURG

Publisher:WHITTENBURG

Chapter8: Depreciation And Sale Of Business Property

Section: Chapter Questions

Problem 17MCQ: Virginia has business property that is stolen and partially destroyed by the time it was recovered....

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You have an HO policy with the following limits: A $75,000 (dwelling) B-$ 7,500 (other structures) C-$25,000 (personal property). A tornado strikes your property. You lose your house, which is worth $65,000 at the time of the loss. You also lose an unattached shed worth $8,000, and personal property worth $30,000. You will collect? (assume $0 deductible, ignore the ACV calculation and assume there is no fraud or other unusual circumstances surrounding the loss.) OA$107,500 OB. $97,500 OC.$103,000
I am having an problem with the attached question. How do I calculate the full depreciation on a house in the question that was bought in 1978 and rented out for 12months? Thanks in advance for your help. Tymesha
An individual bought a piece of land for $50,000 as an investment. A few years later, the individual wants to sell the land. The individual has the land appraised and finds out it is only worth $45,000. The individual decides not to sell the land that year but paid $500 in appraisal fees. The land has a $15,000 mortgage on it, and the property tax bill is $250 for the year. What capital losses may this individual deduct when preparing taxes?
Jane purchased an office building for the total acquisition price of $1,000,000.00. The value of the land was $250,000.00. The value of the personal property was $100,000.00. The value of the mortgage was $500,000.00. The value of the leasehold was $850,000.00. What is her depreciable basis for the real estate? Please don't provide solution in an image format thanku
1. Calculating property loss claim coverage. Most home insurance policies cover jewelry for $1000 and silverware for $2500 unless items are covered with additional insurance. If $3800 worth of jewelry and $2800 worth of silverware were stolen from a family, what amount of the claim would not be covered by insurance? 2. Computing actual cash value coverage. What amount what a person with actual cash value (ACV) Coverage receive for two-year-old furniture destroyed by fire? The furniture would cost $1000 to replace today and had an estimated life of five years. 3. Determining replacement cost. What would it cost an insurance company to replace a family's personal property that originally cost $42,000? The replacement cost for the items have increased 15%. Please show answer, explanation, and formula
Virginia has business property that is stolen and partially destroyed by the time it was recovered. She receives an insurance reimbursement of $5,000 on property that had a $14,000 basis and a decrease in market value of $10,000 due to damage caused by the theft. What is the amount of Virginia's casualty loss? a.$4,000 b.$5,000 c.$14,000 d.$10,000 e.None of these choices are correct.
Moore Furniture Inc. sells retail furniture to the public. Moore recently sold three pieces of property. Use the spreadsheet below to calculate the gain or loss on each of the following dispositions of property, plant, and equipment assets. Place your answer in the space provided. A loss should be indicated by a negative number (enter with a leading minus (-) sign). Note: To use a formula in the spreadsheet, it must be preceded by an equal sign (e.g., =B1+B2).
6) If you bought a piece of property 20 years ago for $100,000 and it is now worth $500,000, how would you record the property asset on a balance sheet? Select an answer: as $400,000 as $100,000 as $500,000 as $300,000
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Hi Can you help me solve this for Depreciation Asset. Thank you! QUESTIONDr Jensen, who carries on business as a physician, purchased a Commodore car on 1 April 2018 at a cost of $35,000. Dr Jenson estimates the effective life of the car as seven years. As a result of mechanical problems she sold the car on 30 June 2018 for $20,000. She has a 60% business usage on her vehicles. Advise Dr Jensen of the tax consequences and the deductions available to her for the year ended 30 June 2018. (All figures are exclusive of GST)
Answer in great detail the following John Peter is aware that there is no Capital Gains tax in Jamaica. He decided to buy a large pieceof land. The land was hilly, so he blasted it to make it flatter, installed a soak away so the waterdoes not settle on the land and made several roadways for ease of access. Six months after hepurchased the land, he subdivided the area and sold it in lots to 30 separate persons, therebymaking a large gain.RequiredAdvise Mr. Peter how these gains would be treated for tax purposes in Jamaica. Appropriate caselaws should be included in your answer.
Homeowners 1 2 and 3 live at the end of Homeowners 1, 2, and 3 live at the end of a badly deteriorated road. Fixing the road would cost $C. The value to Homeowner 1 of fixing the road is $3,000, the value to Homeowner 2 is $5,000, and the value to Homeowner 3 is $8,000. Each homeowner claims that fixing the road is not worth much to him, because each wants the others to pay the cost. The local government suspects that the total value to these homeowners of fixing the road is greater than $C and has decided to require the three homeowners to use the VCG mechanism to determine whether to fix the road. Since the government had no idea of the individual values for fixing the road, it decided to allocate the costs equally among the three homeowners. Each homeowner is asked to report his value for fixing the road. If the sum of the reported values is greater than C, the road will be fixed and each homeowner will have to pay $C/3 and also will have to pay an additional tax as…

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