ABC Company is 100% owned by Hadley . On January 1 of the current year, ABC makes a loan of $24990 to HADLEY . The loan carries interest at the rate prescribed within the tax regulations. Hadley pays $ 9996 on the loan on June 30 of the current year, $9996 on September 30 of the following year, and pays the balance of $4998 on November 30 of the following year. For the current year, how much of the loan will Hadley recognize in her income?

Answer rating: 100% (QA)

To determine how much of the loan Hadley will recognize in her income for the current year we need t... View the full answer