Problem 11-44 (lo. 3) leon sells his interest in a passive activity for $100,000. determine the tax effect of the sale based on each of the following independent facts: if an amount is zero, enter "0". a. adjusted basis in this investment is $35,000. losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000. the is $. the suspended losses at the end of the year are $. b. adjusted basis in this investment is $75,000. losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000. the is $. the suspended losses at the end of the year are $. c. adjusted basis in this investment is $75,000. losses from prior years that were not deductible due to the passive activity loss restrictions total $40,000. in addition, suspended credits total $10,000. the is $. the suspended losses at the end of the year are $. the suspended credits at the end of the year are .

Franklin painting company is considering whether to purchase a new spray paint machine that costs $4,800. the machine is expected to save labor, increasing net income by $720 per year. the effective life of the machine is 15 years according to the manufacturer’s estimate. required determine the unadjusted rate of return based on the average cost of the investment.

Nell and kirby are in the process of negotiating their divorce agreement. what should be the tax consequences to nell and kirby if the following, considered individually, became part of the agreement? a. in consideration for her one-half interest in their personal residence, kirby will transfer to nell stock with a value of $200,000 and $50,000 of cash. kirby's cost of the stock was $150,000, and the value of the personal residence is $500,000. they purchased the residence three years ago for $300,000.nell's basis for the stock is $ xkirby's basis in the house is $ xb. nell will receive $1,000 per month for 120 months. if she dies before receiving all 120 payments, the remaining payments will be made to her estate.the payments (qualify, do not qualify) as alimony and are (included in, excluded from) nell's gross income as they are received.c. nell is to have custody of their 12-year-old son, bobby. she is to receive $1,200 per month until bobby (1) dies or (2) attains age 21 (whichever occurs first). after either of these events occurs, nell will receive only $300 per month for the remainder of her life.$ x per month is alimony that is (included in, excluded from) nell's gross income, and the remaining $ x per month is considered (child support, property settlement) and is (nontaxable, taxable) to nell.

1. regarding general guidelines for the preparation of successful soups, which of the following statements is true? a. thick soups made with starchy vegetables may thin during storage. b. soups should be seasoned throughout the cooking process. c. finish a cream soup well before serving it to moderate the flavor. d. consommés take quite a long time to cool.