Calculate the basis for gain and basis for loss and the taxable gain or deductible loss for the following gifts which are received and sold in the current year:

donor's adjusted basis fmv at time of gift gift tax paid selling price:

a. $1 $4 $4 $35

b. $1 $8 $8000 $7

c. $1 $3 $6000 $4

alex begins using his automobile for business purposes in his new job. the automobile cost $25000 and has a fair market value of $9000 on the date of the conversion to business use.

a) what is alex's initial basis in the automobile? explain

b) what is alex's basis for computing depreciation on the automobile? explain

chanetra inherits land from her aunt, tameka. tameka's adjusted basis in the land was $15, and the fair market value at the date of her death was $2. six months after tameka's death, the land is appraised at $225000. plans for a nearby shopping mall are announced, and the fair market value skyrockets to $4 when the land is transferred to chanetra 9 months after her aunt's death. the total value of all tameka's assets is $85 at date of death and $86 six months after death.

a) can the executor elect the alternate valuation date? explain

b) what is chanetra's basis?

jesse's grandfather dies on april 13 of the current year. jesse inherits the following property:

property basis fmv- april 13 fmv-oct 13

land $5000 $2 $13000

stock $14000 $1 $12000

watch $50 $500 $500

a) what is jesse's basis in the inherited property?

b) what is jesse's basis in the property if the executor of the estate elects the alternate valuation date?

c) assume that the executor elects the alternate vauation date and distributes title to the land to jesse on june 23 of the current year, when the fair market value of the land is $17000. what is jesse's basis in her inherited property?

d) assume that the executor elects the alternate valuation date and distributes the property to jesse on december 2 of the current year, when the dair market value are $15000 for the land, $11500 for the stock, and $500 for the watch. what is jesse's basis in her inherited property?

The following transactions and events that occurred in the village of kowitt gorge during the calendar year 2019: 1. the village commissioners adopted the following budget: estimated revenues: property taxes $1,850,000 all other revenues 300,000 total revenues $2,150,000 appropriations: all departments other than police $1,000,000 police—salaries 600,000 police—fringe benefits 450,000 police—supplies 80,000 total appropriations $2,130,000 2. the village received, in cash, property taxes of $1,840,000 and all other revenues of $295,000. 3. the village made cash payments, charging the following appropriations: all departments other than police $1,000,000 police—salaries 595,000 police—fringe benefits 390,000 4. the administrator of fringe benefits received an invoice for police employee health insurance in the amount of $95,000, together with a letter from the insurance provider, explaining that the large increase was caused by a change in federal laws. the invoice could not be paid because the police—fringe benefits appropriation had a balance of only $60,000 (appropriation of $450,000 minus expenditures in item 3 of $390,000). as a result, the village commissioners amended the budget as follows: increase: appropriation for police—fringe benefits $35,000 decrease: appropriation for police—salaries 5,000 decrease: appropriation for police—supplies 25,000 use of fund balance 5,000 5. the village paid the invoice for $95,000, referred to in item 4 above, charging the appropriation for police—fringe benefits. 6. the police department placed po 2019a for firearms in the amount of $30,000 and po 2019b for uniforms in the amount of $20,000, all charged to the appropriation for police—supplies. (enter these pos as one transaction.) 7. after receiving po 2019a, the supplier notified the police department that a change in the design of the weapons would increase the cost to $32,000. the department sent the supplier an amended po, increasing it by $2,000. 8. the police department received the uniforms ordered on po 2019b, together with an invoice for $20,000. the department approved the invoice for payment. record the transactions and events applicable to the appropriations for police—fringe benefits and police—supplies in the following appropriations ledger. notes: use a negative sign with your answers if: 1. the amount entered in the appropriation column is a debit (dr.) rather than a credit (cr.); or 2. the amount entered in the expenditures column is a credit (cr.) rather than a debit ( in the available appropriation column, enter the appropriate balance after every transaction/event, even if a transaction isn't recorded in a particular ledger for that transaction. for transaction 6, enter both purchase orders (pos) as one combined transaction. appropriations ledger appropriation: police - fringe benefits appropriation encumbrances expenditures available transaction cr. dr. cr. dr. appropriation 1 answer 0 answer 0 answer 0 answer 0 answer 0 2 answer 0 answer 0 answer 0 answer 0 answer 0 3 answer 0 answer 0 answer 0 answer 0 answer 0 4 answer 0 answer 0 answer 0 answer 0 answer 0 5 answer 0 answer 0 answer 0 answer 0 answer 0 6 answer 0 answer 0 answer 0 answer 0 answer 0 7 answer 0 answer 0 answer 0 answer 0 answer 0 8 answer 0 answer 0 answer 0 answer 0 answer 0 appropriations ledger appropriation: police - supplies appropriation encumbrances expenditures available transaction cr. dr. cr. dr. appropriation 1 answer 0 answer 0 answer 0 answer 0 answer 0 2 answer 0 answer 0 answer 0 answer 0 answer 0 3 answer 0 answer 0 answer 0 answer 0 answer 0 4 answer 0 answer 0 answer 0 answer 0 answer 0 5 answer 0 answer 0 answer 0 answer 0 answer 0 6 answer 0 answer 0 answer 0 answer 0 answer 0 7 answer 0 answer 0 answer 0 answer 0 answer 0 8 answer 0 answer 0 answer 0 answer 0 answer 0 answer 0 answer 0 answer 0 answer 0 answer 0