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NEW QUESTION: 1
What data retrieval method does not require admins to have a deep understanding of the
database?
A. Data leader
B. Weekly Export
C. API
D. Reports
Answer: B,D
NEW QUESTION: 2
Wallace purchased 500 shares of Kingpin, Inc. 15 years ago for $25,000. Wallace has worked as an owner/employee and owned 40% of the company throughout this time. This year, Kingpin, which is not an S corporation, redeemed 100% of Wallace's stock for $200,000. What is the treatment and amount of income or gain that Wallace should report?
A. $0
B. $200,000 long-term capital gain.
C. $175,000 ordinary income.
D. $175,000 long-term capital gain.
Answer: D
Explanation:
Explanation
Choice "b" is correct. An investment in a capital asset (e.g., stock) results in the income being capital (either a capital loss or a capital gain). Ownership percentage is not a factor in the calculation, and, in this question, nor is the fact that the corporation is not an S corporation. The calculation is simple:
Wallace invested $25,000 in the stock and received $200,000 for 100% of his investment 15 years later.
The capital gain is $175,000 ($200,000 - $25,000), and it is considered long-term because the stock was held for greater than one year.
Choice "a" is incorrect. There is $175,000 of gain on the transaction ($200,000 - $25,000). This type of transaction is not a transaction that is excluded from tax in the tax code.
Choice "c" is incorrect. An investment in a capital asset (e.g., stock) results in the income being capital (either a capital loss or a capital gain). Although the calculation of the income is correct (i.e.,
$175,000), ordinary income is not the proper treatment for this transaction.
Choice "d" is incorrect. Although this transaction does result in a long-term capital gain, Wallace has basis in the stock ($25,000), and the gain is calculated as the proceeds from the sale ($200,000) less the basis in the stock.
NEW QUESTION: 3
Which are different installation options for SAP NetWeaver AS?
A. SAP NetWeaver AS ABAP+Java
B. SAP NetWeaver AS Java
C. SAP NetWeaver AS ABAP
D. SAP NetWeaver AS Microsoft .NET
Answer: C,D
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