Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. accounting
  3. q.9 dried fruit corp. has had a valid s corp e

Q.9 Dried Fruit Corp. has had a valid S Corp election...

70.2K

Verified Solution

Question

Accounting

Q.9
image
Dried Fruit Corp. has had a valid S Corp election in effect at all times since its incorporation. The Dried Fruit Corp. stock is owned one-third by Raisin and two-thirds by Prune. All shareholders are US resident citizen individuals. At the beginning of the current year, Raisin's basis in his shares was $84,000 and Prune's basis in her shares was $28,000. During the current year, Dried Fruit Corp. earned $504,000 of net income from operations. Raisin's share was $168,000; Prune's share was $336,000. On December 31st, Dried Fruit Corp. distributed Grapeacre (real property) having a fair market value of $168,000, and a basis of $112,000, to Raisin and Plumacre (real property) having a fair market value of $336,000 and a basis of $308,000, to Prune. How much gain does Raisin recognize as a result of this transaction? $56,000 $28,000 $0 $84,000

Answer & Explanation Solved by verified expert
Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:
  • Unlimited Question Access with detailed Answers
  • Zin AI - 3 Million Words
  • 10 Dall-E 3 Images
  • 20 Plot Generations
  • Conversation with Dialogue Memory
  • No Ads, Ever!
  • Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Become a Member

Other questions asked by students

Q

Fit a linear function of the form f(t) = co+c?t to the data points (-8,...

Algebra
Q

Assume that you are a newly hired treasury analyst that is tasked with improving the liquidity...

Finance
Q

describe a laboratory siphon experiment

Civil Engineering
Q

The “Cash for Clunkers” program was one of the most talked about sales promotions of recent...

General Management
Q

If GFR glomerular filtration rate increases which of the following statements would be true Valuable...

Biology
Q

Choose the correct answer pioneered the new form of architecture in the postwar years He...

Biology
Q

Quiz Find the perimeter of the triangle Express the perimeter using the same unit of...

Basic Math
Q

Evaluate the expression rounding your answer to four significant digits where necessar 17 2 2...

Calculus
Q

Dog Kennel uses tenant-days as its measure of activity, an animal housed in the kennel...

Accounting
Q

Shown below are the T accounts relating to equipment that was purchased for cash by...

Accounting
Q

Complete the Perpetual Schedule for LIFO and Average Cost applying the facts above.

Accounting
Q

Required information [The following information applies to the questions displayed below.) Henrich is a single...

Accounting