Answer Happy

Laurie purchased two assets during 2021 for her business. Asset A purchased 3/1/2021 $40,000 Asset B purchased 12/1/2021 $60,000 Laurie must use the half year convention for Asset A and the midquarter convention for Asset B Select one: True False
Aaron's grandfather, Steven, died on 8/1/2021. Steve owned rental property in Phoenix which he purchased on 9/1/2008 for $545,000. The accumulated depreciation on the building was $145,000. The FMV on 8/1/2021 was $450,000. Steven left the property in his will to Aaron. Aaron sold the property for $640,000 on 12/1/2021. Aaron recognizes a LTCG of $190,000 Select one: True False
Kendra bought equipment for $30,000 on 4/1/2019. She sold the equipment on 9/1/2021. She took depreciation deductions of $15,600, and spent $2000 on repairing the equipment. She also spent $7000 on an overhaul of the equipment that exteneded the life of the equipment by 4 years. What is her adjuted basis in the machine? a $14,400 b. $16,400 c. $30,000 d. $21,400 2
Bryan works for Richardson Corp for 5 years. Richardson has a defined benefit plan. Each employee earns 2% of their average salary for their highest 3 years of salary. Bryan earns $80,000 for each of the 5 years. Richardson uses the 7-year graded vesting schedule. Bryan is entitled to a vested benefit of $4800 which he will receive annually on retirement. Select one: True False
Expenses incurred in connection with conducting a trade or business activity or in connection with production of income are generally deductible, but personal expenses are generally not deductible. Select one: True False
Cary is 60 years old and purchases a deferred annuity for $32,000 which at age 65 will pay her $400 per month for the rest of her life. At age 65 her expected return multiple is 20.0. At age 86, what is the amount that Cary must include in her income each year? Select one: a. $0 b. $3,200 c. $1,600 $4800 3