In 2004, Ajax Corporation had ordinary taxable income from operations of $1 million and incurred a net IRC §1231 loss of $20.000. For tax year 2008 the corporation had ordinary taxable income from operations of $1.5 million and a net IRC $1231 gain of $10,000. For the tax year 2009 the corporation had only a net IRC $1231 gain of $15,000. How much income does the corporation recognize in 2009 and what is the character (ordinary or capital)?

Answer rating: 100% (QA)

To determine the income and character ordinary or capital recognized by the corporation in 2009 we n... View the full answer