Question: Question: Ms . Lucas sold land for $ 1 2 5 , 0 0 0 cash and assumption of $ 5 0 , 0 0

Question:
Ms. Lucas sold land for $125,000 cash and assumption of $50,000 mortgage. Basis was $93,000. Tax rate =15%. What's the after-tax cash flow?
Answer Choices:
A. $62,300
B. $69,700
C. $112,700
D. $162,700

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

A project manager discovers that his team has neglected to complete the network diagram for the project. The network diagram is shown in Figure. However, the project manager has some information...

Q:

Dr. McMuffin has a medical clinic formed as a corporation that provides specialty care services to patients. The balances in the accounts as of January 1, 2021 are as follows: Cash Accounts...

Q:

ELECTRICITY OPTIONS FOR A NEW HOME Nurgul Alimbayeva wants to build a new datcha that is independent of the country s power system. That is , Nurgul wants to have her datcha off the grid. Two of the...

Q:

Multiple Choice Questions 21. Lenoci Inc. paid $310,000 for equipment three years ago. This year, it sold the equipment for $200,000. Through date of sale, accumulated book depreciation was $93,840...

Q:

24. This year, Ms. Lucas sold investment land for $125,000 cash plus the purchaser's assumption of a $50,000 mortgage on the land. Ms. Lucas's tax basis in the land was $93,000. If any recognized...

Q:

I need help with this tax return problem. PLEASE, the correct tax return forms MUST be used, which can be found on irs.gov. I would need thorough work on this assignment. Thank you for the help!...

Q:

I just need answers to questions 11 and 12!!! Please help. 11. Refer back to the original lite orange juice project. In this and the remaining questions, if you are using the spreadsheet model,...

Q:

Jones - Financial Statement Case Assignment Start Assignment Due Sunday by 11:59pm Points 20 Submitting a file upload File Types doc, pdf, docx, xls, and xlsx Available Jun 27 at 12am - Jul 3 at...

Q:

Accounting 356v7 Assignment 3 Prepare your answers in a single file. Question Marks Concept Covered 1 30 Not-for-Profit Accounting 2 15 Customer Profitability 3 15 Sales Variances 4 20 Project...

Q:

The Info for the question is the first 3 Pics. The last 4 pics are spread sheets that need to be filled out. Of the four the 2nd and 3rd one are filled out but have a few wrong answers. The 1st and...

Q:

Accounting 356v7 Assignment 3 Prepare your answers in a single file. Question Marks Concept Covered 1 30 Not-for-Profit Accounting 2 15 Customer Profitability 3 15 Sales Variances 4 20 Project...

Q:

The 2012 sales and profits of seven clothes companies were as follows: a. Calculate the sample regression line, where t is the dependent variable and sales is the in de pen dent variable. b. Estimate...

Q:

The swap spread is quoted as 50 bps. If the five-year US Treasury bond is yielding 2%, what is the rate paid by thefixed payer in a five-year interest rate swap closest to?

Q:

Investors invest in closed - end funds, open - end funds, and exchange - traded funds to earn a financial return. True false question. True False

Q:

Pharoah Company reported the following amounts for 2022: Raw materials purchased $95,200 Beginning raw materials inventory 5,824 Ending raw materials inventory 5,040 Beginning finished goods...