REG Study Group Q4 2014 - Page 271

Viewing 15 replies - 4,051 through 4,065 (of 4,354 total)
1 2 3 … 270 271 272 … 289 290 291
  • Author
    Replies
  • November 28, 2014 at 7:49 pm #633266
    Anonymous
    Inactive

    want me to continue with the questions?

    November 28, 2014 at 7:50 pm #633267
    REGTaker
    Member

    I think executive pay is only allowed for tax purposes up to $1 Million (correct me if I am wrong) so on schedule M-1 you would add 500,000 back to taxable income because you deducted the full 1.5 to get to taxable income and you are only allowed to deduct 1 million.

    November 28, 2014 at 7:50 pm #633268
    CPAfit
    Participant

    @bucky I think I'm gonna go do a Becker final exam and then come back. How long you guys planning to continue the quizzing?

    November 28, 2014 at 7:50 pm #633269
    REGTaker
    Member

    yes please Bucky! If this is helping you. If not, we can do something else. Do you need help with estate/trusts?

    November 28, 2014 at 7:51 pm #633270
    Anonymous
    Inactive

    No, I can keep going with this stuff. Let me know when you are feeling better about Corps and then we can move on.

    November 28, 2014 at 7:52 pm #633271
    Anonymous
    Inactive

    4–Webster, a C corporation, has $70,000 in accumulated and no current earnings and profits. Webster distributed $20,000 cash and property with an adjusted basis and fair market value of $60,000 to its shareholders. What amount should the shareholders report as dividend income?

    A. $20,000

    B. $60,000

    C. $70,000

    D. $80,000

    November 28, 2014 at 7:53 pm #633272
    Anonymous
    Inactive

    @zubairs- I should be around for the rest of the day.

    November 28, 2014 at 7:53 pm #633273
    REGTaker
    Member

    4-C

    November 28, 2014 at 7:55 pm #633274
    Anonymous
    Inactive

    4 is C!

    November 28, 2014 at 7:55 pm #633275
    Anonymous
    Inactive

    5–On January 1 of the current year, Locke Corp., an accrual-basis calendar-year C corporation, had $30,000 in accumulated earnings and profits. For the current year, Locke had current earnings and profits of $20,000, and made two $40,000 cash distributions to its shareholders, one in April and one in September. What amount of the distributions is classified as dividend income to Locke's shareholders?

    A. $0

    B. $20,000

    C. $50,000

    D. $80,000

    November 28, 2014 at 7:55 pm #633276
    REGTaker
    Member

    Finally!

    November 28, 2014 at 7:56 pm #633277
    REGTaker
    Member

    c-$50

    November 28, 2014 at 7:58 pm #633278
    Anonymous
    Inactive

    Correct!

    November 28, 2014 at 7:58 pm #633279
    Anonymous
    Inactive

    6–Nyle Corp. owned 100 shares of Beta Corp. stock that it bought in 1993 for $9 per share. In 2014, when the fair market value of the Beta stock was $20 per share, Nyle distributed this stock to a noncorporate shareholder.

    Nyle's recognized gain on this distribution was

    A. $2,000

    B. $1,100

    C. $900

    D. $0

    November 28, 2014 at 7:59 pm #633280
    REGTaker
    Member

    Oh yeah! Oh yeah! I even knew that junk about splitting the CEP half for each distribution and then applying the beginning AEP to the first distribution. Where did that knowledge come from???

  • Author
    Replies
Viewing 15 replies - 4,051 through 4,065 (of 4,354 total)
1 2 3 … 270 271 272 … 289 290 291
  • The topic ‘REG Study Group Q4 2014 - Page 271’ is closed to new replies.