Answer:
c.Head of the contracting activity
Explanation:
What is an overdraft? A. Not making deposits frequently enough B. Making purchases at too many different retailers C. Going below the minimum balance of your account D. Spending more money than you have in your account
Answer:
D. Spending more money than you have in your account
Explanation:
An overdraft occurs when money is withdrawn from a bank account and the available balance goes below zero. In this situation the account is said to be "overdrawn".
Answer:
I think the answer is D...
Explanation:
D. Spending more money than you have in your account, hope this helped!
Select the correct definition of inflation.a specific increase in the price of a good or service attributable to changes in supply or demandan increase in the level of output in an economy evidenced by a rising GDPa general and ongoing rise in unemployment a set of sustained increases in the price of a firm's stocks general and ongoing rise in the average level of prices in an economya general and ongoing decline in the level of prices in an economy
Answer:
The correct answer is (C) a general and ongoing rise in the average level of prices in an economy.
Explanation:
The definition above, usually applies to inflation only if the rise happens for a certain period of time. In other words, the price does not fluctuate. Though oftentimes we consider inflation as bad, this occurrence brings both positive and negative effects. Negative effects of inflation are seen in the discouragement of savings and investments and goods shortages because people might consider buying products at large quantities due to the price volatility. Positive effects of inflation include the decrease of unemployment.
All of the following are critical steps to improving business ethics EXCEPT:
management training
enforcing the policies.
minimizing penalties for violations.
management support.
Answer:
minimizing penalties for violations
Your question asks which is NOT a critical step to improving business ethics.
Answer: Minimizing penalties for violationsThe reason why the answer choice "Minimizing penalties for violations" is the correct answer because this is something that doesn't help improve business ethics.
If you minimize the penalties for violations in a business space, how is that improving work ethic? You would be allowing people to do things that would hurt the business, but then penalize them lightly. That's not improving the business ethic, it's only going to make the business ethics worse. Minimizing the penalties is allowing people to perform violations that you don't want to see in a business. If they were to increase the penalties for violations, that would be another story.
Why the other answer choices are incorrect:Answer choice "management training" is incorrect because this is one of the things to improve business ethics. If you get your management team to go to trainings, then they'll be ready for more things as management.
Answer choice "enforcing the policies" is incorrect because this is another thing that improves business ethics. When you enforce the policies, you're making it clear to everyone that they have to follow those policies, or unless they want to get fired.
Answer choice "management support" is also incorrect because this is another thing to improve business ethics. In a business, the management is on top of everyone, and they need great leadership skills in order to make the business succeed. if the management is getting support, then they'll be able to complete tasks in a orderly manner.
I hope this helps!Best regards, MasterInvestorIt has been speculated that the ussr expansion into central asia and southward was most likely to… select one:
a. gain access to natural gas.
b. meet new cultures.
c. gain access to their oil and other natural resources.
d. gain access to a warmer climate.
e. meet new and exciting peoples, and then kill them. f. have a go at conquering afghanistan. g. gain sea access to warm water ports on the indian ocean.
Answer:
I believe it is C.
Explanation:
Hope my answer has helped you!
A seller is willing to sell a product only if the seller receives a price that is at least as great as the...?
a. seller's producer surplus.
b. seller's cost of production.
c. sellers profit.
d. average willingness to pay of buyers of the product.
Answer:
"B"
Explanation:
The sole aim of every business is for profit making as no trader wishes to trade and make loss. He will need to ensure the sustainability of his business into a foreseeable future.
For profit to be made , a seller sells its goods and services at the cost price plus a decided mark up price
The least price that a seller can sell its goods , under normal market condition is the seller's cost of production. With this , he can still keep the business running and avoid insolvency
Mr. king wants to offer 100 acres of his property for sale. since the property is landlocked, he will have to put in a driveway to the road that will run across his remaining property. what kind of easement will he have to grant
Answer:
Hi, umm r u gd at fking girls from psy?
if more poor people give their money to charity , why do rich people get most of the tax subsidy ? thats not fair
Answer:
I suppose "poor" people are in danger of a poverty country. If it's a country big and rich than i would normally state that it is fair.
Rich people receive most of the tax subsidy because they can leverage tax breaks more effectively, and the philanthropy dynamics often benefit institutions that serve their own interests. Additionally, firms providing services to the impoverished can effectively lobby for noncash aid programs, perpetuating a system where the economically disadvantaged benefit less from their own contributions.
You asked why rich people receive most of the tax subsidy despite more poor people giving money to charity. The explanation for this ties into fiscal policies and philanthropy dynamics. To begin with, charities and foundations benefit from tax relief and fiscal incentives, which on a larger scale lead to significant tax revenue losses. When wealthy individuals donate to charity, they can take advantage of these tax breaks more effectively due to their higher tax rates. Consequently, this can enhance their influence over the distribution of societal goods, ultimately subsidizing them through taxpayer money.
Furthermore, the dynamics of philanthropy have been criticized for reinforcing social inequality. The rich often direct their charity to institutions that serve their own interests, such as schools they attended or other organizations within their social sphere. Meanwhile, institutions serving underprivileged areas tend to receive less philanthropic support. Another factor is that political clout is usually in the hands of those who are not poor. Organizations that provide services, like housing or medical care, can heavily lobby for noncash aid programs, which in turn benefit their business. This system perpetuates a cycle where the economically disadvantaged indirectly support services and subsidies from which they benefit less.
Becky fenton has 40/80/40 automobile insurance coverage. if two other people are awarded $75,000 each for injuries in an auto accident in which becky was judged at fault, how much of this judgment would the insurance cover?
Answer:350.00 will change
Explanation:75.00*3
Becky Fenton being at fault, the company will grant an insurance claim of $225,000 for the auto accident.
What is an insurance claim?An insurance claim is a claim available in the hands of a policyholder in case of happening of an event against which an insurance is taken. It is redeemable only in case of happening of the insured events.
If the insurance policy has a cover terms of 40/80/40, where the other two people injured were granted $75,000, a claim in total of $225,000 (75000 × 3) will be granted by the insurance company.
Hence, the significance of insurance claim is aforementioned.
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Why is there no health risk for researchers working at the burial site?
Answer:
There is no health risk because the internment of grave boxes may represent a natural and wellbeing peril since the metals that are utilized in box making may consume or corrupt into unsafe poisons.
Explanation:
Answer:
plague and bacteria cannot survive very long in soil
Explanation:
Is free trade loading... more likely to benefit a large, populous country or a small country with fewer people?
Answer:
small country with fewer people
Explanation:
VJames has a job with a current salary of $42,000. He wants to earn a college degree that will take him 2 years to complete and it will cost $28,000 per year. He will go to school full time and will not be able to work. Upon graduation, James' new salary will be $56,000 per year. How many years will it take James to recover his investment? A. 1.3 years b. 2.5 years c. 10 years d. 20 years.
It will take James 10 years to recover the $140,000 he invested in his education by attending college for two years, foregoing a $42,000 salary each year, and paying $28,000 tuition annually, considering his new salary will be $56,000, which is $14,000 more than his old salary.
Explanation:To calculate the number of years it will take for James to recover his investment, we need to analyze the costs and benefits associated with obtaining his college degree. Initially, James forgoes a salary of $42,000 for two years, while also paying $28,000 per year for tuition, which totals a loss and expense of $140,000 ($42,000 salary x 2 years + $28,000 tuition x 2 years).
After graduation, James earns a new salary of $56,000, which is $14,000 more than his original salary ($56,000 - $42,000). Now, we divide the total cost of his investment by the annual increase in salary to find out how many years it will take for him to recover his investment:
$140,000 (total cost) / $14,000 (increase in salary per year) = 10 years.
Therefore, it will take James 10 years to recover the $140,000 he invested in his education.
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1. This question is based on the following paragraph. The sentences are numbered to help you answer the question. (1) Making rice pudding can be very easy. (2) First, get a large, heavy saucepan. In the pan, measure 3 cups of whole milk, 1 cup of water, 1/2 stick of margarine or butter, and 1/2 cup of rice. (3) Bring this mixture to a quick boil. (4) Lower heat and slowly simmer for 45 minutes. (5) Remove the saucepan from the heat. (6) Add one beaten egg, 1/2 cup of sugar, and 1/2 teaspoon of vanilla. (7) Stir well. (8) Serve warm or cold. (9) Enjoy your treat. What method of organization is used in this paragraph? A. Compare and contrast B. Examples and explanations C. Chronological order D. Cause and effec
Answer:
(C) Chronological order
Explanation:
Since the narrative above describes a step-by-step explanation on how to make rice pudding, it is important for it to be written in a chronological order. Chronological order means arranging a list of items according to the order that it happens or should be done. If the recipe of the rice pudding is not written in chronological order, mistakes during the process of making the food would occur, and thus the text would fail to deliver the message that it is intended to.
Final answer:
The paragraph about making rice pudding uses chronological order to organize the steps from start to finish.
Explanation:
The method of organization used in the paragraph about making rice pudding is chronological order. This means that the steps are presented in the order in which they should be executed, starting from gathering ingredients and equipment to the final step of enjoying the prepared dish. The paragraph begins by explaining the initial step of measuring ingredients in the saucepan (sentence 2) and then proceeds through the cooking process (sentences 3 to 8), culminating in the final step of serving and enjoying the rice pudding (sentence 9).
Brody and tanya recently sold some land they owned for $150,000. they received the land five years ago as a wedding gift from brody's aunt jeanette. she had already given them cash equal to the annual exclusion during that year. aunt jeanette purchased the land many years ago when the property was worth $20,000. at the time of the gift, the property was worth $100,000 and aunt jeanette paid $47,000 in gift tax. what is the long term capital gain on the sale of the property
Your question asks what would be the long term capital gain from the sale of the property (the land).
Answer: $92,400To solve this, we would need to use the given information from the question.
Key information:
Sold for $150,000
Property was worth $20,000
At the time of the gift, property was worth $100,000
Aunt paid $47,000 in gift tax
With the information above, we can find the answer to the problem.
What we need to do is get the formal property value (20,000) and add it with the gift tax (47,000) times the profit made off of the property (80,000) and divide it by the property value when gifted (100,000).
Then, we would subtract the selling price for the land (150,000) by the land tax (57,600).
[tex]20,000 + (47,000 *80,000/100,000) = 57, 600\\\\150,000 - 57,600 = 92,400[/tex]
When you're done solving, you should get 92,400.
This means that the long term capital gain for the property would be $92,400.
I hope this helps!Best regards, MasterInvestorFinal answer:
The long-term capital gain for Brody and Tanya on the sale of the inherited land is calculated by subtracting the adjusted basis, which includes the gift tax paid by Aunt Jeanette, from the sale price, amounting to a long-term capital gain of $3,000.
Explanation:
The long-term capital gain on the sale of property can be calculated by subtracting the tax basis of the property from the sale price. In this case, Brody and Tanya's tax basis in the land is not simply what Aunt Jeanette paid for the land, but also includes the amount of gift tax she paid on their behalf when the value of the land was above the annual exclusion limit.
The original purchase price of the land by Aunt Jeanette was $20,000, but this is not the basis we use. Instead, we use the value of the land when it was gifted to Brody and Tanya, which was $100,000, however, because Aunt Jeanette paid a gift tax, we need to adjust this basis. We do this by adding the $47,000 of gift tax paid by Aunt Jeanette to the transfer value of the land at the time of the gift, giving us a basis of $147,000. The sale price of the land was $150,000.
Therefore, to find the long-term capital gain, we subtract the adjusted basis ($147,000) from the sale price ($150,000), resulting in a long-term capital gain of $3,000.
Abigail, a human resource executive in a company, coordinates with the management to plan and implement a wide range of employee engagement activities for improving the mental and physical health of the employees. These activities include personality enhancement sessions, career development lectures, and annual office trips. She also works with the management to provide employees with a platform where they can share their innovative ideas. In this scenario, Abigail's initiatives fulfill the human resource management goal of:
Answer:
The answer is promoting individual growth and development, or the maintain goal.
Explanation:
Human resources management commonly have several goals that they need to be able to achieve: the most well-known is the attract, develop, and maintain framework. In attract, HRM decision makers and executors are involved in the recruitment and talent management aspects of HR. In developing, they are responsible to ensure the development of employees in order to achieve the organizational goals, as well as devising the mechanism to measure this performance. In maintain, HRM decision makers and executors focus in compensation and benefit aspects, alongside labor relations issue.
Arbitration is a noncoercive method of resolving a dispute between employer and union.
a. True
b. False
Which leadership competency is most essential to ensure that staff working within a complex adaptive?
Answer:
the ability to collaborate and fully engage team members
Answer:
Teamwork between members and Total participation of all members.
Explanation:
In order to work together as a team, first it is important for all team members (with no exception) to have a clearly defined common goal and objectives.
Roles should be clearly stated and every member of the team must fully participate to achieve their goals.
In case of lapses from one or more team members, the other members should aid and give support to these team members.
Lastly, there should be Trust, Respect, Willingness, Empowerment, and Effective Communication among members because that is the only way they can work and function together as a unit
What is customer service? A. interacting with customers B. interacting with employees in a company C. researching people’s wants and preferences D. assisting customers in the process of obtaining goods and services to fulfill their wants and needs E. chatting with customers
Answer:
assisting customers in the process of obtaining goods and services to fulfill their wants and needs
Explanation:
Customer service assists customers in the process of obtaining goods and services to fulfil their wants and needs. The correct option is d.
What is customer service?Customer service is the direct one-on-one interaction between a consumer making a purchase and a representative of the company that is selling it. Most retailers see this direct interaction as a critical factor in ensuring buyer satisfaction and encouraging repeat business.
Even today, when much of customer care is handled by automated self-service systems, the option to speak to a human being is seen as necessary to most businesses. It is a key aspect of servant leadership. Customer service is the interaction between the buyer of a product and the company that sells it. Good customer service is critical to business success, ensuring brand loyalty one customer at a time.
Recent innovations have focused on automating customer service systems but the human element is, in some cases, indispensable.
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Jason, a highminusschool student mows lawns for families in his neighborhood. The going rate is $12 for each lawnminusmowing service. Jason would like to charge $20 because he believes he has more experience mowing lawns than the many other teenagers who also offer the same service. If the market for lawn mowing services is perfectly competitive, what would happen if Jason raised his price? A. If Jason raises his price, he would lose all his customers. B. He would lose some but not all his customers. C. Initially, his customers might complain but over time they will come to accept the new rate. D. If Jason raises his price, then all others supplying the same service will also raise their prices.
Answer:
B. He would lose some but not all his customers.
Explanation:
Since he has more experience, and as long as his customers are satisfied with his work, he may keep most of them. However, he would lose customers if, 1) his work is poor and not worth the new cost, or 2) the price is too high and his customer cannot afford it.
However, if his service is poor, then he would lose all his customers.
~
Answer:
B. He would lose some but not all his customers.
Explanation:
If the market for lawn mowing services is perfectly competitive and if Jason raised his price, he would lose some but not all his customers.
All of the following could be considered product enhancements at a sporting or entertainment event EXCEPT ?
Answer:
c. discounted drinks
Explanation:
honestly i don't know why it would enhance your products when the rest is much more favorable.
Answer:
Discounted drinks
Explanation:
Gradpoint
The opportunity cost of an action: can be determined by considering both the benefits that flow from as well as the monetary costs incurred as a result of the action. can be determined by adding up the bills incurred as a result of the action. can be objectively determined only by economists. is a subjective valuation that can be determined only by the individual who chooses the action.
Your question asks what an opportunity cost of an action is.
Answer: D). is a subjective valuation that can be determined only by the individual who chooses the action.The reason why answer choice "D). is a subjective valuation that can be determined only by the individual who chooses the action" is correct because an opportunity cost of an action is not the same for everyone.
An opportunity cost of an action is subjective, meaning that the action can be determined by someone's opinion, feelings, etc. Everyone thinks differently, therefore making everyone's opportunity cost of action different.
A opportunity cost of an action also is determined by the individual themselves, not anyone else. That's why the action is subjective, due to the fact that the decision on the action is determined by the individual personal opinions and feelings.
I hope this helps!Best regards,MasterInvestorFinal answer:
The opportunity cost of an action is the value of the next best alternative forgone by choosing to take that action. It is subjectively determined by the individual, based on what they give up, which can be both monetary and non-monetary. (last option)
Explanation:
The opportunity cost of an action can be understood by evaluating what must be given up to undertake the action. This concept applies to all decision-making in economics, whether it involves financial transactions or other choices, such as spending time on an activity.
Opportunity cost includes not just the monetary costs but also the benefits that are foregone as a result of the action. A classic example would be a student who decides to study instead of going to a party; the opportunity cost would be the enjoyment and experiences the student forgoes by not attending the party.
Opportunity costs are a critical concept and are subjectively determined by the individual making the choice, as each person values their alternatives differently.
What are the Federal Reserve Districts?
A) twelve banking districts created by the Federal Reserve Act
B) Federal Reserve committee that makes key decisions about interest rates and the growth of the U.S. money supply
C) research arm of the Federal Reserve
D) group of Federal Reserve governors that influences the level of real GDP and the rate of inflation in the economy
the Federal Reserve Districts is A) twelve banking districts created by the Federal Reserve Act
Answer:
A) Twelve banking districts created by the Federal Reserve Act
Explanation:
The Federal Reserve Act of 1913 created the US federal Reserve system. It wad created to establish economic stability in the US and established a central bank to supervise the monetary policy. The act also built twelve federal reserve districts and one federal reserve banks for each of the district. All the federal reserve banks implement the monetary policy decided by the Federal Open Market Committee.
At the end of each day, panera bread restaurants donate leftover bread and baked goods to food banks and local charities. the company is practicing greenwashing by helping to advance the social conditions of the communities in which it operates.
Answer: They are practicing at being good samaratins.
Explanation: Their business decision is probably making them look charitable to the community.
Answer:
They appear to be giving back to the community with food to help the hungry or the homeless.
Explanation:
In the paragraph above they mention practicing. Greenwashing can make a company appear to be more environmentally friendly than it really is. My hope is panera really is doing this for the greater good.
Sean has placed a job ad and is now interviewing potential employees. Which of the following questions is he legally allowed to ask during the interview?
Do you have any disabilities that will require special accommodation?
How many children do you have?
Where did you earn your degree and how has it prepared you for this position?
Is this your maiden name that you have listed on the job application?
Answer:
The correct answer would be option A, Do you have any disability that will require special accommodation?
Explanation:
According to the Rehabilitation Act of 1973, it is illegal to ask an applicant about any disability before the interview has established that the applicant is eligible for the job and the company is going to hire him/her. This law strictly forbids employer to ask about the accommodation for the interviewee due to his/her disability before hiring them. The Act of Rehabilitation restricts employer to ask the interviewee about the disability and the severity of disability and how this disability occur and what is the nature of this disability. All such questions are strictly prohibited during the interview until and unless the candidate has been selected for the job.
Answer: where did you earn your degree and how has it prepared you for this position
Explanation:
A smartphone manufacturing company uses social media to achieve different business objectives. Match each social media activity of the company to the objective it helps the company achieve.
Explanation:
Following is the correct matching of different social media activities with the objectives of the company.
Releases videos of its new, high tech smartphone manufacturing facility
To give consumers a peek into its operations
Hosts an online sweepstakes and gives the winners an extended warranty on a smartphone model
To increase brand loyalty
Gives bloggers a new smartphone handset before the model is on the market
To create consumer awareness about a new product
Ask customers to determine their next model using hashtag #NEWMODEL
To allow consumers to be part of product development
_____ refers to building and integrating analytics capabilities into all everyday business activities.Pervasive analyticsArtificial intelligenceBusiness analyticsBusiness intelligence
Pervasive analytics refers to building and integrating analytics capabilities into everyday business activities. It goes beyond traditional business analytics or intelligence by incorporating analysis into every operation, improving efficiency and decision-making.
Explanation:Pervasive analytics is the correct answer to the question, as it refers to the integration and utilization of analytical capabilities in all daily business activities. It's a concept that extends beyond traditional business analytics or business intelligence, by incorporating analytical depth into every business process and decision.
For example, a retail business employing pervasive analytics might use real-time data analysis to optimize inventory management, pricing strategies, and customer experiences simultaneously. It's like having a team of data analysts working on every facet of a business, only that it's automated and integrated into daily operations.
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Which of the following is true about presentation methods for providing training? Audiovisual techniques are most effective when they are used alone. Mobile technologies include training methods such as on-the-job training, simulations, business games and case studies, behavior modeling, interactive video, and web-based training that require the trainee to be actively involved in learning. The typical users for teleconferencing include employees who are part of a workforce that spends most of its time traveling, visiting customers or various company locations and has limited time available to spend in traditional training activities. Webcasting involves classroom instructions that are provided online through live broadcasts. Classroom instruction is no longer a popular training method because of new technologies such as interactive video and computer-assisted instruction.
Answer:
The best answer for this question would be: Webcasting involves classroom instructions that are provided online through live broadcasts.
Explanation:
The other answers are incorrect because:
Audiovisual techniques are most effective when combined with other training strategies to provide context and opportunity for the learners to practice what they have learned.
Mobile technologies do not include simulation, case, studies, and on-the-job training.
The best people to be trained through teleconferencing would be those who are working from an office position, though not located in the same area as the training provider.
Classroom instruction is still a popular training method, because it's relative ease of access compared to other methods.
Mobile technologies include training methods that require active involvement in learning.
Explanation:Mobile technologies refer to a wide range of portable and wireless devices, applications, and communication tools that enable access to information, connectivity, and services while on the move. Examples include smartphones, tablets, mobile apps, and wearable devices. They have transformed various aspects of daily life, including communication, entertainment, business, and navigation, and continue to drive innovation and convenience in today's interconnected world.
In the given context, the statement that is true about presentation methods for providing training is that mobile technologies include training methods such as on-the-job training, simulations, business games and case studies, behavior modeling, interactive video, and web-based training that require the trainee to be actively involved in learning.
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Anthony, the plant manager, was talking with another manager about Tim, the lead engineer in the corporate R & D department. Anthony remarked, "Tim is so bright, and he is an expert in designing products. But like so many experts, he can't imagine what it's like to be as ignorant as the rest of us. I think at times, he cannot see things from an outsider's perspective." Tim is suffering froma. the curse of knowledgeb. the tunnel vision effectc. an analytics perspectived. a narrow perspectivee. the intellectual fog effec
Answer:
The answer is tunnel vision.
Explanation:
Tunnel vision is part of a group of cognitive biases that an individual might unknowingly engage in when employing their cognitive functions on a day-to-day basis. However, analytics perspective and narrow perspective are not included in this category, nor is intellectual fog, Tunnel vision itself is defined as a reluctance for individuals to consider perspectives that might differ from what she or he believes in. There are several types of tunnel vision biases. Some of them are confirmation bias, hindsight bias, and outcome bias.
Which of the following situations is most likely to change a buyer's market into a seller's market? A. A natural disaster that drives away a lot of the population. B. The price of building materials suddenly going up. C. The government buys up a lot of houses to build a new freeway. D. A factory laying off a lot of workers in the area.
Answer:
The price of building materials suddenly going up.- B.
Answer:
The price of building material going up
Explanation:
Which of the following is one disadvantage of renting a place to live compared to buying a home? A. Tenants have to pay for all repairs to the building. B. The landlord covers the expenses of maintaining the property. C. Residents can't alter their living space without permission. D. Rent is generally more than monthly mortgage payments.
Answer:
The answer is C, residents can’t alter their living space without permission
Explanation:
I just did the test and got it right
Residents can't alter their living space without permission is one disadvantage of renting compared to buying a home. Besides, price control policies like rent control could reduce the availability and quality of rentals, posing additional disadvantages for renters.
Explanation:The question asked was: Which of the following is one disadvantage of renting a place to live compared to buying a home? The correct answer is option C: Residents can't alter their living space without permission.
In the context of real estate and housing, this is because when you rent a property, you do not own it. Therefore, you are often limited in terms of the alterations and modifications you can make to the property without the permission of the landlord. This could include things like painting, major renovations, or even minor changes like putting up shelves.
Moreover, referring to the concept of price ceilings in the rental market, some renters or potential renters lose their housing when landlords convert apartments into co-ops and condos. To add, if renters obtain cheaper housing than the market requires, the quality of the housing tends to decrease. For example, during price control policies such as rent control, landlords may reduce the number of rental units available, impacting potential renters and causing them to live elsewhere due to lack of availability, a substantial disadvantage of rent control.
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Barry owns a 50 percent interest in B&B Interests, a partnership. His brother, Benny, owns a 35 percent interest in that same partnership, and the remaining 15 percent is owned by an unrelated individual. During 2016, Barry sells a rental property with a basis of $60,000 to B&B Interests for $100,000. The partnership intends to hold the rental as inventory for resale. What is the amount and nature of Barry’s gain or loss on this transaction?
Barry realizes a $40,000 gain, which is classified as ordinary income from the sale of the rental property to the partnership, assuming no special tax rules alter this result.
Explanation:When Barry sells a rental property with a basis of $60,000 to B&B Interests, a partnership in which he has a 50 percent interest, for $100,000, the transaction results in a gain.
Since the partnership is holding the rental as inventory for resale, the nature of the gain is ordinary income. The amount of Barry's gain is the difference between the selling price ($100,000) and his basis ($60,000), which equals $40,000.
However, special tax rules may apply since this transaction involves a sale between a partnership and a partner owning a substantial interest in the partnership.
Final answer:
Barry's gain on the sale of the rental property to B&B Interests is $40,000, and it will be treated as ordinary income.
Explanation:
Barry's gain or loss on the sale of the rental property to B&B Interests will be calculated based on the difference between the selling price and the basis of the property.
The basis of the property is $60,000, and it is being sold for $100,000.
Therefore, the gain on the sale is $100,000 - $60,000 = $40,000.
Since the partnership intends to hold the property as inventory for resale, the gain will be treated as ordinary income for Barry. This means that it will be subject to ordinary income tax rates.