o Homewo chael Jackstad Google Chrom Secure https://www.mathxl.com aspx?homeworkld 420186609&questionld 4&flushed false&cld Cente yes /Student/PlayerHomework Michael Jackstadt 4 I 4/6/17 2:21 PM TAX-655-X4933-17TW4-Whitley Homework: 3-2 MyAccounting Lab Homework: Module Three Save Score 0 of 4 pts HW Score: 64.78%, 25.91 of 40 pts 8 of 10 (8 complete Question Help PC 4-37 (similar to) Queen Corporation is a profitable manufacturing concern with $800,000 of E&P lt s owned in equal shares by David and Rachel, husband and wife. Both individuals are actively involved in the business. Consider the following independent events: (Click the icon to view the events.) Requirement Determine the tax consequences of each independent event (For events with no constructive dividend and/or no effect on the corporation leave the amount box empty: do not enter a zero Effect on owner Effect on Event Constructive dividend Amount of dividend Effec Amount More Info a. In reviewing a prior year tax retum for Queen, the IRS determines that the $420,000 of salary and bonuses paid to Rachel is unreasonable and that reasonable compensation is $130,000 b. Queen loaned David $200,000 over the past three years None of the money has been repaid. David does not pay interest on the loans c. Queen sells a building to Rachel for $80,000 in cash. The property has an adjusted basis of $60,000 and is subject to a S50,000 mortgage, which Rachel assumes. The FMV of the building is S250,000 d. David leases a warehouse to Queen for $68.000 per year. According to an IRS auditor similar warehouses can be leased for $55.000 per year e. Rachel sells to Queen for S150,000 land on which Queen intends to build a factory According to a recent appraisal, the FMV of the land is S90,000 f. The corporation owns an airplane that it uses to fly executives to business meetings. When the airplane is not being used for business, David and Rachel use it to travel to their ranch in Idaho for short vacations. The approximate cost of their trips to the ranch in the current year is $5,000 Done Print Choose from any list or enter any number in the input fields and then Click Check Answer. parts Clear A Check Answe remaining o Homewo chael Jackstad Google Chrom Secure https://www.mathxl.com aspx?homeworkld 420186609&questionld 4&flushed false&cld Cente yes /Student/PlayerHomework Michael Jackstadt 4 I 4/6/17 2:21 PM TAX-655-X4933-17TW4-Whitley Homework: 3-2 MyAccounting Lab Homework: Module Three Save Score 0 of 4 pts HW Score: 64.78%, 25.91 of 40 pts 8 of 10 (8 complete Question Help PC 4-37 (similar to) Queen Corporation is a profitable manufacturing concern with $800,000 of E&P lt s owned in equal shares by David and Rachel, husband and wife. Both individuals are actively involved in the business. Consider the following independent events: (Click the icon to view the events.) Requirement Determine the tax consequences of each independent event (For events with no constructive dividend and/or no effect on the corporation leave the amount box empty: do not enter a zero Effect on owner Effect on Event Constructive dividend Amount of dividend Effec Amount More Info a. In reviewing a prior year tax retum for Queen, the IRS determines that the $420,000 of salary and bonuses paid to Rachel is unreasonable and that reasonable compensation is $130,000 b. Queen loaned David $200,000 over the past three years None of the money has been repaid. David does not pay interest on the loans c. Queen sells a building to Rachel for $80,000 in cash. The property has an adjusted basis of $60,000 and is subject to a S50,000 mortgage, which Rachel assumes. The FMV of the building is S250,000 d. David leases a warehouse to Queen for $68.000 per year. According to an IRS auditor similar warehouses can be leased for $55.000 per year e. Rachel sells to Queen for S150,000 land on which Queen intends to build a factory According to a recent appraisal, the FMV of the land is S90,000 f. The corporation owns an airplane that it uses to fly executives to business meetings. When the airplane is not being used for business, David and Rachel use it to travel to their ranch in Idaho for short vacations. The approximate cost of their trips to the ranch in the current year is $5,000 Done Print Choose from any list or enter any number in the input fields and then Click Check Answer. parts Clear A Check Answe remaining