Please EXPLAIN your answers and show ealculations.
1. Don gave his daughter Donice land worth $100,000 (he had previously given $14.000 which used his annual gift tax exclusion). The land cost Don $50,000 three years ago. Doniee subsequently sold the land to friend Fannie for $100,000 in cash and $20,000 in Pepsi stock. Calculate and explain Donce's sale of the land.
2. Terri cloth is an excutive with a small business. The owner wants to transfer company stock to Tem now worth $100,000 if she works for the company for three years. Terri fully expects the stock to be worth more in three years. Explain Tem's options.
3. List and give an example of the tree types of tax assets:
4. Give an example and explain the difference between a defined contribution and a defined benefit pension plan.
5. Give an example explain the difference between a Roth IRA and a traditional IRA.
6. Explain pension plan vesting and panicipation requirements.
7. What is the earliest and latest age for withdrawal from a defined contribution plan and the tax consequences of the withdrawal
8. Frank Lea exchanged his forklift for delivery truck worth $20,000 and $5.000 in Pepsi a stock forklift originally cost $15.000 and Frank had taken $5.000 depreciation). Calculate the in gain and basis in delivery truck.
9. Landan Hoe sold his forklift that he owned for four years for $20,000 (cost $15,000. depreciation taken $5.000) to Mark Mee. Mark is to pay five equal annual installments and 5% interest. Calculate the first payment.
10. Ben There has the following transactions this year:
a. storage building destroyed by tomado (adj. basis $200,000, insuran ce reimbursement $300,000, built new building for $250,000; owed the building for three years;
b. sold forklift for $15.000 (cost $10,000, depreciation $5.000): owned forklift for two years:
c. sold delivery truck for $10.000 (cost $20,000, depreciation $5.000); owned for two years;
d. sold Coke stock for $10.000 (cost $15,000): owned for one year:
Show work and calculate result of all transactions.