On September 1, an investor sold 100 shares of KLP Corporation common stock for a loss of $1 per share. On September 15, he purchased a KLP convertible bond with a conversion price of $40. How much of the original loss may he now declare for tax purposes

Answers

Answer 1

Answer: $75

Explanation:

It should be noted that the convertible bond was bought less than 30 days after the loss was realized, therefore, sale of the stock will have to fall under wash sale rule i.e when securities are sold at a loss by the investors and repurchased by them before or after 30 days after the Securities has been sold, then the loss will not be allowed by the IRS.

Since there is a conversion price of $40, then the bond will be converted into:

= 1000/40

= 25 shares of KLP common stock.

Therefore, only ($100 - $25) = $75 will be declared as a loss


Related Questions

Waste includes any misuse of resources, such as the overuse of services or other practices that directly or indirectly result in unnecessary costs to the Medicare Program. Choose one answer. a. True b. False

Answers

Answer:

True

Explanation:

The accrual concept that costs incurred to generate a revenue are expensed in the same period the revenue is known as the

Answers

Answer:

Matching concept

Explanation:

This accounting principle is of the opinion that the expenses incurred in generating revenue should be matched with the revenue or income in order to ascertain whether or not profit or loss has been made,in other words,reporting only the revenue without considering the fact some amount has been incurred in a bid to generate the revenue does not a clear picture of the business underlying transactions.

It is simply aggregating like with like since costs incurred in the period are deducted from revenue in the same period.

XCEL Corporation paid a dividend yesterday for $1.50. They expect to pay dividends annually at a constant 6 percent annual growth rate indefinitely. If the required rate of return on this investment is 12 percent, what is the current value of this common stock?

Answers

Answer:

$26.50

Explanation:

The computation of the current value of the common stock is shown below:

Current price is

= Current year dividend ÷ (Required rate of return - Growth rate)

where

Current year dividend is $1.59

The Required rate of return is 12%

ANd, the growth rate is 6%

Now place these values to the above formula

So, the current price of the common stock is

= ($1.50 × 1.06) ÷ (0.12 - 0.06)  

= $1.59 ÷ 0.06

= $26.50

An amount of money that is paid by the company to its shareholders on the regular basis is called a dividend.

The current value of this common stock is $26.50.

This can be estimated by:

[tex]\text{Current price} = \dfrac{\text{Current year dividend}}{(\text{Required rate of return - Growth rate})}[/tex]

Where,

The current year interest = $1.59

The essential rate of return = 12%

The growth rate = 6%

Hence, the current value of the common stock is:

[tex]= \dfrac{(\$1.50 \times 1.06)}{(0.12 - 0.06)}[/tex]

[tex]= \dfrac{\$1.59}{0.06}[/tex]

= $26.50

Therefore, the current price of the common stock will be $26.50.

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Recently, Darlene has found that they have begun to reach market saturation. She is having trouble finding new customers. One solution would be to increase the company's reach, perhaps by opening up locations in other areas. However, she knows this will be expensive. After noticing that many of their customers are planning on expanding and purchasing bigger facilities, Darlene feels that the best option is to increase the company's

Answers

Answer: a. share of customer

Explanation:

Share of Customer refers to the proportion of the total amount that a company gets out of money that a customer will spend in a certain category.

In other words, a company that has a greater share of customer from a particular customer will see that customer spend more of their money on them.

Share of Customer is improved by excellent working relationships with customers such that they will be loyal to you. Darlene should therefore strive for this so that their customers who are planning on more expansion will keep coming back to Darlene's company and spending more and more on them.

"The principle stating that asset and liability measurements should be based on the amount given or received in the original transaction is referred to as the"

Answers

Answer:

Historical cost

Explanation:

historical cost can be defined as the measure of value used in accounting and that is the value of an asset on a balance sheet.

Historical cost is used for assets that are fixed in the United states of America. Cheers

Jasmine is the director of marketing for a chain of clothing stores. She's been given a set budget and needs to drive as many potential customers to her website as possible. Which automated bidding strategy should she use in her campaign?

a. Target impression share
b. Maximize conversions
c. Target return on ad spend (Target ROAS)
d. Maximize clicks

Answers

Answer: Maximize clicks

Explanation:

From the question, we are informed that Jasmine is the director of marketing for a chain of clothing stores and that she's been given a set budget and needs to drive as many potential customers to her website as possible.

The automated bidding strategy should she use in her campaign is "maximize click". This will help in getting many clicks and is cheap.

SalientVision Inc., a construction company, receives more than $2,000 in federal money. The company pays its employees at rates at least equal to the prevailing wages in the area. The calculation of prevailing rates by the company is based on 30% of the local labor force. In this case, which laws does the company comply with?

Answers


Hi I’m sorry I forgot to tell you that I’m gonna answer your question about the money I have to go with my grandma to get her meds and she can not be there until she probably gets home and ya
The answer is Pay differential

which piano is the best for beginners? List 5 best pianoes.​

Answers

Answer:

1:Yamaha YPT-269

2:Casio PX-770

3:Korg EK-50

4:Roland

5:Go:keys

Answer:

1. Yamaha P-45

2. Yamaha YDP-S34

3. Casio PX-770

4. Korg B1SP

5. Roland RP102

Explanation:

A formal agreement between separately owned and controlled facilities to officially coordinate and share certain activities is most appropriately referred to as

Answers

Answer:

An affiliation

Explanation:

An affliation in management refered to act of associating, this could be a former agreement on a particular projects, whereby there is agreement between the partners to carry out a certain activities and how it's officially coordinated. It usually employed among organizations.

Therefore, from the question Formal agreement between separately owned and controlled facilities to officially coordinate is known as an affiliation

Explain the services offered by wholesalers to manufacturers

Answers

Answer:

advertising :the wholesaler helps out in carrying out product advertising and sales promotion s and by so doing creating awareness for the product

risk bearing :the wholesaler takes charge of the goods thereby accepting responsibility for losses sufferedin the course of distribution

and we have financing,warehousing and bulk breaking

A person, group, or organization that has a meaning it intends and attempts to share with a receiver or an audience is a

Answers

Answer:

Source

Explanation:

Source, also known as sender in communication is a concept of generating information or data with the intent of communicating or reproducing exact information somewhere else within a short time .

A source can be a person , organization or a group of people and the source information must have a meaning it intends to share with a receiver or an audience. This means that the information must be encoded in a way that makes it easy for the receiver or audience to understand before transmitting the message.

In the context of behavioral economics, the belief that outcomes that have not occurred in the recent past are more likely to occur soon, and that recent outcomes are unlikely to be repeated in the near future is best referred to as the ________ fallacy.

Answers

Answer:

Gamblers.

Explanation:

This is a belief by a certain people from a school of thought that something is likely to or not occur and this is seen to happen within a period of time. This belief carriers the said person to keep in line or stop within this period in his endeavours towards a particular goal or work. This is seen in human which try their chances a lot in gambling in the likes of casinos etc and also human to human risk. This fallacy can be seen when a team has won the coin toss for the last three games. So, they are definitely going to lose the coin toss tonight. Also the last time they spun the wheel, it landed on 12. So, it won't land on 12 this time.

If total utility (TU) is rising as more salsa is consumed, we can definitely say that marginal utility (MU) is:

Answers

Answer:

D) greater than zero.

Explanation:

Here are the options to the question :

A) constant.

B) falling.

C) rising.

D) greater than zero.

Total utility is the total satisfaction derived from consuming a good or service.

Marginal utility is the change in total utility as a result of an increase in consumption

Marginal utility can either be increasing , decreasing or remain constant depending on the changes in total utility

If total utility is increasing, then marginal utility must be greater than zero

Please check the attached image for a table showing how marginal utility changes based on how total utility changes

Is the soundness of conclusions that can be drawn from an experiment?

Answers

Answer:

Validity.

Explanation:

Validity is the soundness of conclusions that can be drawn from an experiment. It is a term used to refer to how precise and accurate a method describes, estimate, and establish what it is supposed to measure or quantify at a given time.

Hence, if an experiment has a high validity, this ultimately implies that its outcome are in correspondence with the characteristics, properties, and as such it has a sound conclusion. Thus, an experiment is said to be valid when it has a great level or soundness of conclusion.

The process of spreading the costs of long-lived assets such as buildings and equipment over the total number of accounting periods in which they are expected to be used is called

Answers

Answer:

Depreciation

Explanation:

Depreciation is the process of reallocation of tangible assets over its useful life. Depreciation is an expense which is charged on the entire cost of a long-term tangible fixed asset. The depreciation expense is computed by reducing the scrap value of the asset from its cost and dividing it by the entire useful life of the asset. There are several methods used to depreciation tangible assets such as straight-line method, MACRS, double declining etc. Salvage value is the expected value of the asset at the end of its life. For example, if an asset has been purchased at $110,000 with a useful life of 5 years and salvage value of $10,000 then using straight-line depreciation per year over 5 years will be ($110,000-$10,000)/5 = $20,000.

An investment banking firm has been hired to roll up various partnerships into one master limited partnership. What is the compensation limit for this activity

Answers

Answer:

2%

Explanation:

Based on the industry standards and regulations, an investment banking firm or a broker-dealer canvassing the agreements from limited partners in relation to a roll-up is outrightly limited to compensation of 2% of the value of the newly created securities.

Therefore, the correct answer, in this case, is that the compensation limit for this activity is pegged at 2 percent

Under MSRB rules, a registered representative is prohibited from sharing in the gains and losses of a customer's account unless the:

Answers

Answer:

D)

Explanation:

This is the case unless the registered representative contributes capital proportionate to his sharing percentage and receives written approval of the principal. This is because the MSRB clearly prohibits this, but if the registered representative opens a joint account with the customer (granted the customer approves), and shares in both the gains and losses of the account with a proportionate capital contribution, then both are entering into the same risk and are allowed to share in the gains and losses. This is as long as the principal provides written approval.

On January 8, an applicant filled out an application for a life insurance policy but did not include the initial premium. The insurance company approved the application on January 14 and issued the policy January 15. The producer delivered the policy on January 26 and collected the first premium. When did the coverage become effective

Answers

Answer: January 26

Explanation:

A life insurance policy is simply a contract that an individual has with an insurance company whereby the individual makes premium and in turn, the insurance company would have to give a death benefit, to the beneficiaries of the insurance policy once the insured dies.

Based on the information in the question, the coverage become effective on January 26 which was the day the policy was delivered and the first premium was collected.

The coverage of the life insurance policy becomes effective on 26th January.

A life insurance policy is an agreement between a policyholder and a life insurance company. In return for premiums paid by the policyholder during their lifetime, a life insurance policy promises the insurer will pay an amount of money to one or more named beneficiaries after the covered person passes away.

Life insurance is a binding agreement that provides the policyholder with a death payout in the event that the covered person passes away.

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WILL GIVE BRAINLY!!!!!!!!

A shift in demand may occur within a community in all of the following cases, except a change in __________.

A. birthrate
B. immigration
C. political leadership
D. age demographic

Answers

Answer:

C. political leadership

Explanation:

A shift in the demand curve occurs in many cases except for a change in political leadership.

What do you mean by demand?

Demand refers to the ability, or willingness to buy a product, goods, or services.

A change in birthrate, immigration, and age demographic are the reasons for shifting in demand but a change in political leadership does not affect the demand.

Therefore, C is the correct option.

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Logan Corp. purchases supplies on account and appropriately records the transaction in an asset account. The adjusting journal entry at year-end when accounting for supplies used will require a (Select all that apply.)

Answers

Answer:

Debit to supplies expenseCredit to supplies

Explanation:

Supplies to be used in a period will be considered an expenses so Logan should debit the Supplies Expense account to show that as an expense, the supplies used have increased.

As Logan Corp. bought the supplies on account, they should record this as a credit in the supplies account to show that it is a liability account that is still owed.

"The time horizon to be used when constructing a portfolio to pay for college expenses for a person who is expected to start college in 10 years and finish college in 15 years is:"

Answers

Answer:

15 years

Explanation:

If you are constructing a portfolio to cover the education expenses of your child and you expect that he/she graduates from college in 15 years, then the time horizon of your portfolio should be 15 years since it should cover all the expenses until your child graduates. If you start a little earlier and expect your child to graduate in 20 years, the time horizon will be 20 years, or if you start a little later and expect your child to graduate in 10 year, then the time horizon is 10 years.

Any factor that can change

Answers

The things that change in an experiment are called variables. A variable is any factor, trait, or condition that can exist in differing amounts or types. An experiment usually has three kinds of variables: independent, dependent, and controlled.

a factor which can be changed in a experiment. ... all factors which remain the same for each repeated trial for all levels of the independent variable

A _____ is a written document with detailed specifications that is used to request bids for equipment, supplies, or services from vendors.

Answers

The answer is a request for proposal

If this helps mark me the brainiest please and thank you

Planet Earth Developers is a large nationwide construction company with home offices in Lansing, MI. The local media often remarks about the pristine landscaping that surrounds the home office that sits on a 30-acre complex. At the back end of the complex are several large warehouses and garages that hold large equipment. The grounds surrounding these warehouses look like a well-maintained park. Across the street from the garages are several shops and businesses. The CEO, "Planet Paul" (as his employees call him), often talks about how thankful he is that the town permits him to store the company equipment at that site, and vows to always maintain the premises for his neighbors (the other businesses that thrive in that area), not to mention that he asks 100 employees to come to work there everyday. What statements describes Planet Paul's business philosophy?

Answers

Answer: Planet Paul understands even though it cost a little more, the stakeholder considerations are important if one want their business to thrive.

Explanation:

The value of stakeholders to organizations cannot be underappreciated. Stakeholders are the individuals that are interested in ones company and gives ones business both financial and practical support.

Stakeholders include investors, employees, loyal customers etc. Based on the above question, Planet Paul understands even though it cost a little more, the stakeholder considerations are important if one want their business to succeed.

Mama Donna’s Bakery produces cupcakes in a variety of unique flavors. The company’s cupcakes are offered for sale in many local restaurants. When a purchase order is placed by a restaurant, the cost related to processing purchase order is most likely attributed to a(n) ________ activity.

Answers

Answer:

Batch Level

Explanation:

Batch level activity is the cost incurred that is related to the production of a certain batch of a product. It is usually associated with the cost incurred in the production of a group of units which cannot be traceable to individual units within a batch.

For instance, the incurred cost for setting up a machine to produce a batch of 10,000 units of an item is referred to as batch level cost. The cost can only be allocated to the 10,000 units produced per batch, not just one unit in the batch. In addition to machine setups, other cost drivers are inspection, purchase orders, direct labor hour, quality tests etc.

HELP MEE
What is a possible style of formatting your company could prefer?
A. Justification
B. Sans serif
C. TXS
D. MLA
SUBMIT

Answers

MLA is your answer.(D)

Answer: MLA

Explanation:

AP3X

pog

A restaurant has been operating in the same location for decades. However, a
new restaurant opens across the street and sells very similar food. Both
restaurants try to win over customers by lowering prices and creating new,
innovative dishes. Which element of the free enterprise system does this
situation best reflect?
A. Competition
B. Limited role of the government
C. Individual freedom for producers
D. Profit motive

Answers

Competition

Is the correct answer as shown in the image below.

The element of the free enterprise system reflected here is competition. Therefore, the correct answer is option is A.

What is competition?

Competition refers to a situation in which individuals or organizations strive to gain an advantage over others. In a market economy, competition is the driving force behind innovation and economic growth. It is an essential element of the free enterprise system as it allows producers to improve their products and services while keeping prices reasonable.

The two restaurant lowered prices and created new and innovative dishes. They did so to get ahead of their competition.

Thus, the element of the free enterprise system reflected here is competition. Therefore, the correct answer is option is A.

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a company is selling used office quipment for $12000 they purchased it 2 years ago for $50000 what is the gain or loss on the sale

Answers

Answer:

( B ) -$18,000

Explanation:

Calculation for the gain or loss on the sale

First step is to calculate for the depreciation of equipment

Depreciation of equipment = ($50,000 - 0) / 5

Depreciation of equipment= $10,00 per year

Second step is to find the value of the asset after 2 years

Value of asset after two year = $50,000 - $20,000

Value of asset after two year Value= $30,000

Third step is to calculate the loss on the selling asset

Loss on selling asset = $12,000 - $30,000

Loss on selling asset =- $18,000

Therefore the loss on the sale will be - $18,000

Your company has formed a partnership with another company and you want to allow certain resources to be shared between the two companies. What should you create?

Answers

Answer:

joint venture

Explanation:

Based on this scenario, the best thing for you to create would be a joint venture. This is a business arrangement in which the parties involved decide to combine their specific resources in order to accomplish a specific task that both companies are trying to accomplish and which will benefit both parties greatly. Therefore, since you want to share resources with your partner company this would be the best organizational agreement.

The 20% off sale is a better deal than the $200 rebate or $150 coupon for the $1,500 dining set. The Porters budgeted $1,250 for a new dining room set. Explain why this is the best deal for them. Are they under budget?

Answers

Answer:20% off is better and it is the only offer which is under the budget.

Explanation:Given,

The original cost of the dining set = $ 1,500,

If there is a off of 20%,

Then the discount on dinning table = 20% of 1500

= $ 300

So, the final amount of the dinning table after 20% off = 1500 - 300 = 1200 < 1250

Thus, it under the budget.

Now, in $ 200 rebate,

The new cost of the dinning table = 1500 - 200 = $ 1300 > 1250,

Thus, it is not under budget.

While, In $150 coupon,

The new cost of the dinning table = 1500 - 150 = $ 1350 > 1250,

Thus, it is not under budget.

20% off is better and it is the only offer which is under the budget.

20% off of the $1,500 dining set is $300, and the dining set price will be 1500 - 300 = $1200.

And by applying the $150 coupon, the dining set price will be $1500 - $150 = $1350.

Therefore 20% off is better and it is the only offer which is under the budget.

What is problem-solving?

Problem-solving is the act of defining a problem; figuring out the purpose of the trouble; identifying, prioritizing, and selecting alternatives for an answer; and imposing an answer.

What are problem-solving and examples?

Problem-solving starts with identifying the issue. As an example, a trainer may need to parent out a way to improve a scholar's overall performance on a writing talent test. To do that, the instructor will overview the writing exams looking for regions for improvement.

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