Irene owns two residential rental properties and purchased a third in 2021. Details related to the...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
Irene owns two residential rental properties and purchased a third in 2021. Details related to the properties are as follows: Total rent received ($2,000 is a deposit in respect of next year) $56,000 Total expenses to earn rental income, excluding CCA $33,000 Building #1 opening UCC $498,000 Building #2 opening UCC $695,000 Proceeds of disposition on building #1 on April 30, 2021 $550,000 Original cost of building #1 $578,000 Cost of new rental building purchased on May 1, 2021 (land excluded) $888,000 Required: Compute the total minimum rental income for Irene in 2021 in respect of her rental operations. Hint - organize your work by property. Remember to include any terminal loss or recapture. Don't forget to take CCA. Irene owns two residential rental properties and purchased a third in 2021. Details related to the properties are as follows: Total rent received ($2,000 is a deposit in respect of next year) $56,000 Total expenses to earn rental income, excluding CCA $33,000 Building #1 opening UCC $498,000 Building #2 opening UCC $695,000 Proceeds of disposition on building #1 on April 30, 2021 $550,000 Original cost of building #1 $578,000 Cost of new rental building purchased on May 1, 2021 (land excluded) $888,000 Required: Compute the total minimum rental income for Irene in 2021 in respect of her rental operations. Hint - organize your work by property. Remember to include any terminal loss or recapture. Don't forget to take CCA.
Expert Answer:
Answer rating: 100% (QA)
Solution During 2020 irene received rental income of 56000 out of it ... View the full answer
Related Book For
An Introduction to Statistical Methods and Data Analysis
ISBN: 978-1305269477
7th edition
Authors: R. Lyman Ott, Micheal T. Longnecker
Posted Date:
Students also viewed these accounting questions
-
Saul owns two residential rental properties at the beginning of the year. Both properties are in separate CCA classes: Property A is in Class 1 with a maximum CCA rate of 4%, while Property B is in...
-
Saul has two residential rental properties (Property A and Property B)that are mortgaged. Both properties are in Class 1, which has a maximum CCA rate of 4 percent. At the beginning of the year,...
-
Don owns equipment that he purchased several years ago for $400,000. Over the years he properly deducted $110,000 of depreciation. The depreciation will have to be recaptured as ordinary income on...
-
- A large, open bucket of water sits on a table. The height of the water level in the bucket is 4 m above the surface of the table. A small hole is made in the bucket at a distance of 10 cm above the...
-
Provide examples of closed-ended, open-ended, and range-of-response questions.
-
Kline Corporation acquired additional land and a building that included several pieces of equipment for $ 600,000. The acquisition was settled as follows: cash, $ 120,000; issuance of Klines common...
-
Figure 12.74 shows the floor plan of a house. Use the floor plan to answer each question. 1. Draw a graph to represent the floor plan in which each vertex represents a different room (or hallway) and...
-
After graduating from dental school two years ago, Dr. Lauren Farish purchased the dental practice of a long-time dentist who was retiring. In January of this year she had to replace the outdated...
-
Polaski Company manufactures and sells a single product called a Ret. Operating at capacity, the company can produce and sell 4 8 , 0 0 0 Rets per year. Costs associated with this level of production...
-
The following salaried employees of Mountain Stone Brewery in Fort Collins, Colorado, are paid semimonthly. Some employees have union dues or garnishments deducted from their pay. Required: Calculate...
-
In the Mattel case study we reviewed irvolving the toy recalls, Mattel and Early Light would be best described as 4.supply chain partners b. supply chain competitors c. purchasing corporations d. dist
-
Q4. Is this a good or bad use of inheritance? Why? (10 points) CLASS List { data: array [1..100] of INTEGER; count: INTEGER:= 0; METHODS } insert (pos: 1..100; value: INTEGER); require: insert value...
-
Smoothie Plc, a fruit juice manufacturer, has determined the following standard cost details for the three ingredients that are blended together to make their tropical fruit drink: Standard cost per...
-
You find PBB Corp's 3.0% bonds at a price quote of ($)98.6 on the finra.org The bond pays semiannually and matures 6 months from now. The bond's YTM is %. You may round your final answer to 4 decimal...
-
Describe Coercive Power , Legitimate Power , Referent Power ,Expert Power bases of power ingroups. Identify the different consequences of using these bases.
-
DeZurik Corporation had the following stockholders equity section in its June 3 0 , 2 0 2 2 , balance sheet ( in thousands, except share and per share amounts ) : June 3 0 ( in thousands ) 2 0 2 2...
-
Where in Mexico, the Caribbean, or Central America should Hayco relocate some of its manufacturing from China? Can we eliminate any of the four countries based on the variables considered
-
How do individual companies respond to economic forces throughout the globe? One way to explore this is to see how well rates of return for stock of individual companies can be explained by stock...
-
The department of agriculture in a midwestern state wants to estimate the amount of corn produced in the state that is used to make ethanol. There are 50,000 farms in the state that produce corn. The...
-
Refer to Exercise 19.26. Suppose that the week 1 data were not available in the north and east for chain 1, due to logistics problems that slowed the introduction of the product by a week. a. Write...
-
Commercial cheese is manufactured by bacterial fermentation of pasteurized milk. Selected bacteria, referred to as starter cultures, are added to the milk to implement the fermentation. However, some...
-
In the 2010 Wells Report, what was the third most common way of detecting fraud? a. Tips b. Internal audits c. External audits d. By accident e. Reports from the police
-
According to the 2010 Wells Report, the most costly form of fraud was: a. Asset misappropriations b. Fraudulent disbursements c. Check tampering d. Fraudulent financial statements e. Bribery and...
-
Charles Moon, the managing director of your client Neptune plc, is negotiating with a view to Neptune plc acquiring the entire share capital of Sirius Group Ltd ('Sirius'). He has informed you that...
Study smarter with the SolutionInn App