Bob bought some land costing $15,540. Today, that same land is valued at $45,117. How long has Bob owned this land if the price of land has been increasing at 5 percent per year? Multiple Choice a. 14.52 years B. 24.03 years C. 21.85 years D. 22.89 years E. 13.83 years

Q: Janet purchased a new house for $120,000, obviously not in New York. She paid $35,000 down and…

A: Cost of house = $ 120,000 Down payment = $ 35,000 Loan amount (PV) = 120,000-35,000 = $ 85,000…

Q: Several years ago, sisters Jan and Jill, purchased an apartment complex and titled it as joint…

A: Gross estate refers to the term which is used for defining the total or aggregate dollar value of…

Q: How much of this can he deduct from adjusted gross income and briefly explain the answer?

A: Adjusted gross income is the income which is earned by the person who is the taxpayer on which he or…

Q: A farmer purchased 245 acres of land for $4,900/acre. He paid 25% down and obtained a loan for the…

A: Loan amortization is the process of reimbursement of loan periodically by the borrower of the loan…

Q: 0 in 2013. His purchase has depreciated 6.5% every year since then. What is his car worth today in…

A:

Q: On September 30 of last year, Rex received some investment land from Holly as a gift. Holly's…

A: GIVEN   On September 30 of last year, Rex received some investment land from Holly as a gift.…

Q: bob bought some lands costing $16,240. Today, that same land is valued at $46,517. how long has Bob…

A: Please find the answer to the above question below:

Q: Tom purchased a condo in Mississippi for rental property at a cost of $106,600. Using the class…

A: Most U.S. residential rental property is depreciated @ 3.636% each year. Period is 27.5 years   Data…

Q: What is the Amount Realized, Type and amount of Basis, and Gain or Loss of the following Lois gives…

A: Gift of the property would be considered as the property which is transferred for other person for…

Q: George buys a car on April 3 for $25,000. George estimates it has a life expectancy of 10 years with…

A: Thanks for your question, but as per the guidelines, in the case of multiple questions, we have to…

Q: London purchased a piece of real estate last year for $83,600. The real estate  is now worth…

A: Purchase price=$83,600 Present worth=$100,100 Rate of return=0.22   ⇒Total Return=(Present…

Q: Dean and Ellen Price are married and have a manufacturing business. They bought a piece of business…

A: MACRS Depreciation Modified Accelerated Cost Recovery System (MACRS) is the depreciation calculation…

Q: Will they qualify for any gain exclusions? If so, explain why. If not, explain why

A: Gain Exclusions.

Q: Mr. Lang bought a used Chevy Tahoe for $26,500. The value of the Tahoe has decreased 7% per year…

A: Worth Today = Purchase price * (1+rate)^years

Q: For the current year,  santos has wages of $80,000 and the following property transactions: Stock…

A: AGI means adjusted gross income of the individual on which taxes needs to be paid. These taxes are a…

Q: On September 30 of last year, Rex received some investment land from Holly as a gift. Holly’s…

A: The capital gain or capital loss is calculated on the sale of an asset which was gifted before by…

Q: Some time ago. Tracie purchased two acres of land costing $67,900. Today, that land is valued at…

A: We need to use the concept of time value of money to solve the question. We will use the formula of…

Q: Olivia wants to buy some vacant land for investment purposes. She cannot afford the full purchase…

A: The purchase of option is treated as a capital asset

Q: This year, Leron and Sheena sold their home for $848,000 after all selling costs. Under the…

A: Given information is: Sale value of Home = $848,000

Q: Sharon Burke bought a home in Virginia for $139,000. She puts down 30 percent and obtains a mortgage…

A: Notes payable is a negotiable instrument signed by the promisor who agreed to pay a certain amount…

Q: 4. Samantha inherited land that was purchased by her grandfather in 1960 for $7,000. In 2020,…

A: FV is the future worth of cash flows that have occurred in the past or present.

Q: 24. Dan owned a small rental property, which was condemned by the county to expand a local park. His…

A: Amount realized =$75000Amount of replacement property =$70000Unspent part ofAmount realized =$5000

Q: Nancy Valentino lives in a duplex that she owns at 14 Lancaster Drive, Salem, OR 97305. Nancy rents…

A: Schedule E - It is used for calculation of your net income or loss from rental real estate and…

Q: Amira & Tay each started with $200,000. they retired and both took out $6500 of their money at the…

A: Answer:-  Calculation of sums at the end of each year (Amira):-  Year Amount (A) Money spent(B)…

Q: In June on this year, Chase purchases a new car for $40,000. He uses the car 75 percent for business…

A: The term depreciation refers to the accounting method used to spread the cost of a tangible or…

Q: Four years ago, an investor purchased a five door-apartment for P5.5M. Income from rent exceeded…

A: Purchase price (P) = P 5.5 M Annual surplus (A) = P 0.48 M Tax rate = 8.25% Selling price after tax…

Q: As a part of the sale, these are the required known attributes: • Sales Contract Price: 700,000 •…

A: The calculation of amount of gain that will be realised and recognised is shown hereunder :

Q: Arya is either a real estate rock star or she is very lucky. Her revenues increase by 20% in Year 2…

A: Net operating income (NOI) refers to the annual income generated by the property after deducting all…

Q: property with a fair market value of $120,000. What is the amount realized? a.) $1,370,000 b.)…

A:

Q: then what is the dollar amount of income that she needed to  have to reach her objective?

A: Holding period is the total period for which an investor holds the investment i.e. the period…

Q: Brian purchased a block of land in June 1987 for $110,000. At the time that he acquired the land he…

A: Capital gain means the sale of assets like land, bond, stocks etc. on profit. The sale price of…

Q: bob bought some lands costing $16,240. Today, that same land is valued at $46,517. how long has Bob…

A: Original Cost of Land = $16,240 Present Cost of Land = $46,517

Q: Lucy bought a house for $100,000. Lucy's annual cost of ownership net of tax savings is exactly…

A: Cost of House  $1,00,000.00 LTV 80% Buying Cost  5% Selling Cost 8% Annual Growth rate 4.50%

Q: This year, Barney and Betty sold their home (sales price $750,000; cost $200,000). All closing costs…

A: Capital gain on sales of home=Sale proceeds from the sale of the house-Cost of the home sold

Q: Brittany purchased an industrial lot in Sudbury for $1,100,000 and it was assessed at 65% of its…

A:

Q: Suppose Ms. Heiter's property has an assessed value of $230,000. She originally paid $60,000 to…

A: Annual property taxes can be calculated by multiplying assessed value of property by the property…

Q: Will Riker received a cabin in the woods when his grandmother died. She had owned the cabin for 20…

A: a) Amount Realised is the amount which is realised from the sale of assets or property. The asset…

Q: Now that you are making the big bucks, your spouse has decided to venture into the rental property…

A:

Q: has a $25,000 basis, and receives $4,000 (cash), Land $30,000 FMV and basis of $14,000 What is her…

A:

Q: Clara received from her Aunt Sona property with a FMV at the date of the gift of $30,000. Aunt Sona…

A: Asset sale occur when the assets ( tangible or intangible) is sold by the company. The sales can be…

Q: Joanna buys a new horse every five years. She uses a depreciation rate of 25% to estimate the value…

A: A depreciation rate of 25% indicates the value of the horse is decreased by 25% for each year.  $1…

Q: My father purchased his home in 1974 for $38,000. He sold it in 2020 for $225,000. What rate of…

A: Purchase price (P) = $ 38,000 Sale price (S) = $ 225,000 Period from 1974  to 2020 (N) = 46 Years

Q: Maria purchased a new farm machine she will use for her second crop. She paid P30,000 for it and…

A: Depreciation is the allocation of cost of asset over the useful life of the asset. It can be charged…

Q: Based on the cases provided. calculate the income received: i) Mrs. S owns a freehold property in…

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts…

Q: Clem and Chloe, a married couple, sell their principal residence that they have owned and occupied…

A: Disposal of Assets: Disposal is an activity of selling the worn-out assets that is no longer in need…

Q: London purchased a piece of real estate last year for $84,500. The real estate is now worth…

A: Income = Investment * ( 1 + total return )

Q: Jan Reus sold her home and has $ 18.000 to invest. She believes she can earn 8% compounded quarterly…

A: Compound interest is interest calculated on the initial principal, which includes all of the…

Q: Isaac buys a piece of land as an investment, paying $20,000. Three years later he trades the land to…

A: The adjusted basis of an asset is generally its purchase price plus capital improvements and costs…

Q: Clara received from her Aunt Sona property with a FMV at the date of the gift of $30,000. Aunt Sona…

A: Gift transferred from Clara to her aunt Sona, will not be treated as transfer in the sense of…

Reasons for Estate Planning

Planning is a process that helps decide in advance about future activities and operations. Planning helps to draft the procedures by identifying, analyzing, and designing how to work, when to work, by whom should be done, and what has to be done. It is the primary step followed by a person, business organizations, institutions, companies, etc.