Firm CS performed consulting services for Company P. The two parties agreed that Company P would pay for the services by transferring investment securities to Firm CS. At date of transfer, the securities had a $38,500 FMV. Company P’s tax basis in the securities was $25,000.

a. How much income must Firm CS recognize on receipt of the securities? What is Firm CS’s tax basis in the securities?

b-1. How much income must Company P recognize on disposition of the securities?

b-2. What is the character of the income?

c-1. Can Company P deduct the consulting expense?

c-2. If so, what is the amount of the deduction?

Jaynet spends $30,000 per year on painting supplies and storage space. she recently received two job offers from a famous marketing firm – one offer was for $85,000 per year, and the other was for $120,000. however, she turned both jobs down to continue a painting career. if jaynet sells 40 paintings per year at a price of $4,000 each:

The total value of your portfolio is $10,000: $3,000 of it is invested in stock a and the remainder invested in stock b. stock a has a beta of 0.8; stock b has a beta of 1.2. the risk premium on the market portfolio is 8%; the risk-free rate is 2%. additional information on stocks a and b is provided below. return in each state state probability of state stock a stock b excellent 15% 15% 5% normal 50% 9% 7% poor 35% -15% 10% what are each stock’s expected return and the standard deviation? what are the expected return and the standard deviation of your portfolio? what is the beta of your portfolio? using capm, what is the expected return on the portfolio? given your answer above, would you buy, sell, or hold the portfolio?

Identify at least 3 body language messages that project a positive attitude