They continue to use their IT knowledge and rich experience to study the previous years exams of AICPA REG Free and have developed practice questions and answers about AICPA REG Free exam certification exam. So Omgzlook's newest exam practice questions and answers about AICPA certification REG Free exam are so popular among the candidates participating in the AICPA certification REG Free exam. Maybe on other web sites or books, you can also see the related training materials. Your eligibility of getting a high standard of career situation will be improved if you can pass the exam, and our REG Free study guide are your most reliable ways to get it. You can feel assertive about your exam with our 100 guaranteed professional REG Free practice engine for you can see the comments on the websites, our high-quality of our REG Free learning materials are proved to be the most effective exam tool among the candidates. If you choose to sign up to participate in AICPA certification REG Free exams, you should choose a good learning material or training course to prepare for the examination right now.
It contains AICPA REG Free exam questions and answers.
AICPA Certification REG Free - CPA Regulation They often encounter situations in which the materials do not match the contents of the exam that make them waste a lot of time and effort. So the website of Omgzlook can get the attention of a lot of candidates. They believe and rely on us.
Though the content is the same, but their displays are totally different and functionable. We have handled professional REG Free practice materials for over ten years. Our experts have many years’ experience in this particular line of business, together with meticulous and professional attitude towards jobs.
AICPA REG Free - At last, you will not regret your choice.
we can give you 100% pass rate guarantee. REG Free practice quiz is equipped with a simulated examination system with timing function, allowing you to examine your REG Free learning results at any time, keep checking for defects, and improve your strength. Besides, during the period of using REG Free learning guide, we also provide you with 24 hours of free online services, which help to solve any problem for you at any time and sometimes mean a lot to our customers.
Through our short-term special training You can quickly grasp IT professional knowledge, and then have a good preparation for your exam. We promise that we will do our best to help you pass the AICPA certification REG Free exam.
REG PDF DEMO:
QUESTION NO: 1
Clark bought Series EE U.S. Savings Bonds after 1989. Redemption proceeds will be used for payment of
college tuition for Clark's dependent child. One of the conditions that must be met for tax exemption of
accumulated interest on these bonds is that the:
A. Purchaser of the bonds must be the sole owner of the bonds (or joint owner with his or her spouse).
B. Bonds must be bought by a parent (or both parents) and put in the name of the dependent child.
C. Bonds must be bought by the owner of the bonds before the owner reaches the age of 24.
D. Bonds must be transferred to the college for redemption by the college rather than by the owner of the
bonds.
Answer: A
Explanation
Choice "a" is correct. One of the conditions that must be met for tax exemption of accumulated interest on
the bonds is that the purchaser of the bonds must be the sole owner of the bonds (or joint owner with his
or her spouse).
Choice "b" is incorrect. The bonds must be bought and put in the name of the owner or co-owner, not in
the name of the dependent child.
Choice "c" is incorrect. The owner must be at least 24 years old before the bonds issue date.
Choice "d" is incorrect. There is no requirement that the bonds must be transferred to the college for redemption by the college rather than by the owner of the bonds.
QUESTION NO: 2
Tom and Joan Moore, both CPAs, filed a joint 1994 federal income tax return showing $70,000 in taxable
income. During 1994, Tom's daughter Laura, age 16, resided with Tom. Laura had no income of her own and was Tom's dependent.
Determine the amount of income or loss, if any that should be included on page one of the Moores'
1994 Form 1040.
The Moores received a $500 security deposit on their rental property in 1994. They are required to return the amount to the tenant.
A. $0
B. $500
C. $900
D. $1,000
E. $1,250
F. $1,300
G. $1,500
H. $2,000
I. $2,500
J. $3,000
K. $10,000
L. $25,000
M. $50,000
N. $55,000
O. $75,000
Answer: A
Explanation
"A" is correct. $0. The security deposit is not taxable income because the Moores are required to return it
when the tenant leaves. If the deposit is applied to damages in a later tax year, the portion the
Moores
retain would be income to them in the year they retain the deposit, and the money they spend to repair the
damage would be a deduction to them.
QUESTION NO: 3
Don Wolf became a general partner in Gata Associates on January 1, 1989, with a 5% interest in
Gata's
profits, losses, and capital. Gata is a distributor of auto parts. Wolf does not materially participate in the
partnership business. For the year ended December 31, 1989, Gata had an operating loss of
$100,000.
In addition, Gata earned interest of $20,000 on a temporary investment. Gata has kept the principal temporarily invested while awaiting delivery of equipment that is presently on order. The principal will be
used to pay for this equipment. Wolf's passive loss for 1989 is:
A. $0
B. $4,000
C. $5,000
D. $6,000
Answer: C
Explanation
Choice "c" is correct. Wolf's passive loss for 1989 is $5,000 ( $100,000 operating loss * 5% interest in partnership).
Choice "a" is incorrect. Wolf did not materially participate in the partnership, so the loss was passive.
Choice "b" is incorrect. Wolf's passive loss of $5,000 could not be reduced by his distributive share of the
partnership's "interest income" totaling $1,000. Interest income is considered "portfolio income," and
neither the partnership nor a partner can offset it against passive losses.
Choice "d" is incorrect. No items of income or deduction from portfolio income or activities in which the
taxpayer materially participates may be combined or offset with passive losses unless the activity generating the loss is completely disposed of in a taxable transaction.
QUESTION NO: 4
For a cash basis taxpayer, gain or loss on a year-end sale of listed stock arises on the:
A. Trade date.
B. Settlement date.
C. Date of receipt of cash proceeds.
D. Date of delivery of stock certificate.
Answer: A
Explanation
Choice "a" is correct. Trade date.
Gain or loss on a year-end sale of listed stock arises on the trade date.
Rule: Whether on the cash or accrual method of accounting taxpayers who sell stock or securities on an
established securities market must recognize gains and losses on the trade date, rather than on the settlement date.
Choices "b", "c", and "d" are incorrect, per the above rule.
QUESTION NO: 5
Farr made a gift of stock to her child, Pat. At the date of gift, Farr's stock basis was $10,000 and the
stock's fair market value was $15,000. No gift taxes were paid. What is Pat's basis in the stock for computing gain?
A. $0
B. $5,000
C. $10,000
D. $15,000
Answer: C
Explanation
Choice "c" is correct. Property acquired as a gift generally retains the rollover cost basis as it had in the
hands of the donor at the time of the gift. Basis is increased by any gift tax paid that is attributable to the
net appreciation in the value of the gift. Since there were no gift taxes paid, Pat's basis for computing a
gain is the rollover cost (basis), $10,000.
Choices "a", "b", and "d" are incorrect, per the explanation above.
Our Fortinet FCP_FAZ_AD-7.4 exam materials give real exam environment with multiple learning tools that allow you to do a selective study and will help you to get the job that you are looking for. IBM C1000-172 - We will provide one year free update service for those customers who choose Omgzlook's products. If the Huawei H13-311_V3.5 braindumps products fail to deliver as promised, then you can get your money back. SAP C_THR89_2405 - Our resources are constantly being revised and updated, with a close correlation. No need of running after unreliable sources such as free courses, online SAP C_THR89_2405 courses for free and SAP C_THR89_2405 dumps that do not ensure a passing guarantee to the SAP C_THR89_2405 exam candidates.
Updated: May 26, 2022