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Business, 28.01.2020 06:31 morenodonaldo762
Which of the following situations involving an exchange of business property exemplifies a fully nontaxable exchange?
a) miranda traded a commercial refrigerator plus 5,000 for patricia commercial refrigerator,
b) lois exchanged a commercial sewing machine for edward's commercial sewing machine plus 5,000 in cash.
c) harold traded an improved lot for oliver's rental house. oliver paid the 2,000 expense incurred with the exchange..
d)david traded his delivery van with marcia for a printing press
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Reynolds corp. factors $400,000 of accounts receivable with mateer finance corporation on a without recourse basis on july 1, 2015. the receivables records are transferred to mateer finance, which will receive the collections. mateer finance assesses a finance charge of 1 ½ percent of the amount of accounts receivable and retains an amount equal to 4% of accounts receivable to cover sales discounts, returns, and allowances. the transaction is to be recorded as a sale.required: a. prepare the journal entry on july 1, 2015, for reynolds corp. to record the sale of receivables without recourse.b. prepare the journal entry on july 1, 2015, for mateer finance corporation to record the purchase of receivables without recourse— think through this.c. explain the difference between sale of receivables with recourse as oppose to without recourse.
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Which of the following situations involving an exchange of business property exemplifies a fully non...
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