Taxation

Databricks, Inc. engineered a highly successful initial public offering by executing several imaginative techniques designed to minimize price volatility. Heres a summary of the transactions that took place during Year 2:

Year 2. % of Shares Issued Purchase Price February 1 40% $3 million February 15 20% 2 million March 2 20% 10 million November 30 15% 30 million December 15 5% 15 million

At December 31, Year 1, Databricks, Inc. had a net operating loss carryforward $8 million.

Determine the 382 limitation, if any, on the use of the net operating loss carry forward that would apply for a full taxable year. Assume a long-term tax-exempt interest rate of 2%. Assume zero net built-in gain or loss.

Databricks, Inc. engineered a highly successful initial public offering by executing several imaginative techniques designed to minimize price volatility. Here's a summary of the transactions that took place during Year 2: At December 31, Year 1, Databricks, Inc. had a net operating loss carryforward \$8 million. Databricks, Inc. engineered a highly successful initial public offering by executing several imaginative techniques designed to minimize price volatility. Here's a summary of the transactions that took place during Year 2: At December 31, Year 1, Databricks, Inc. had a net operating loss carryforward \$8 million