Ask Question
BusinessBusiness
30 June, 22:25

Joy is a 30 percent partner in the JOM Partnership when she sells her entire interest to Hope for $72,000 cash. At the time of the sale, Joy's basis in JOM is $44,000 (which includes her $6,000 share of JOM liabilities). JOM does not have any hot assets. What is Joy's gain or loss on the sale of her interest?

+3
Answers (1)
  1. 30 June, 23:06
    0
    Answer: $34,000

    Explanation: The gain or loss of joy on the sale can be computed using following equation : -

    Gain or loss = Amount realized on sale + relief on debt - JOM basis

    now, putting the values into equation above we get : -

    Gain or loss = $72,000 + $6,000 - $44,000

    Gain or loss = $34,000 gain
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Joy is a 30 percent partner in the JOM Partnership when she sells her entire interest to Hope for $72,000 cash. At the time of the sale, ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers
You Might be Interested in
A marketer makes a place decision by selecting channels of distribution. what does this mean?
Answers (1)
This chart shows the link between interest in a product and the price a consumer pays. a. interest in a product and the price a producer pays. b. amount of a product and the price a consumer pays. c. amount of a product and the price a producer pays.
Answers (2)
Janelle works in the purchasing department of an apparel manufacturing company and has the formal authority to select a supplier. janelle is a (n) :
Answers (1)
A quality inspector took five samples, each with 4 observations, of the length of time for glue to dry. The analyst computed the mean of each sample, and then computed the grand mean of 12.14.
Answers (1)
An entrepreneur is planning to start a factory to produce high-tech plastic containers in high volumes. She will use either an assembly line or batch process and has selected two possible sites, one in a small town and one in a big city.
Answers (2)
New Questions in Business
Here are selected data for sally day corporation: beginning raw materials inventory $37,000 beginning work in process inventory 61,500 beginning finished goods inventory 56,300 cost of materials purchased 151,000 cost of direct materials
Answers (1)
How to find out how much your social security will be?
Answers (1)
John is a young entrepreneur. He wants to insure his business. Why does he prefer an online insurance application facility?
Answers (1)
Oriole Inc. reported total assets of $2407000 and net income of $324000 for the current year. Oriole determined that inventory was overstated by $25500 at the beginning of the year (this was not corrected).
Answers (1)
Which of the following consists of wages earned from work, plus dividends and interest on investments along with rents and royalties?
Answers (1)
Home » Business » Joy is a 30 percent partner in the JOM Partnership when she sells her entire interest to Hope for $72,000 cash. At the time of the sale, Joy's basis in JOM is $44,000 (which includes her $6,000 share of JOM liabilities).
Sign Up Forgot Password?