Purchased a patent for $32,000 in cash paid $18,500 in cash for long-term assets prepaid $36,000 for rent for the next 12 months and recorded the transaction as an asset. issued 1000 common shares to investors for $60,000 sold inventory on account for $120,000. the cost of the inventory was $16,000. also, paid a sales commission on this sale of $10,000. paid $13,400 in cash for costs related to research and development of new products.

Tara incorporates her sole proprietorship, transferring it to newly formed black corporation. the assets transferred have an adjusted basis of $240,000 and a fair market value of $300,000. also transferred was $10,000 in liabilities, $1,000 of which was personal and the balance of $9,000 being business related. in return for these transfers, tara receives all of the stock in black corporation. a. black corporation has a basis of $241,000 in the property. b. black corporation has a basis of $240,000 in the property. c. tara’s basis in the black corporation stock is $241,000. d. tara’s basis in the black corporation stock is $249,000. e. none of the above.

Retail industry fundamentals credential exam,part 1 all answers

Asap! the following information is given for tripp company which uses the indirect method.