Question: Exercise 22-14 (Algorithmic) (LO. 10) Matulis, Inc., a C corporation, owns a single asset with a basis of $424,000 and a fair market value of

Exercise 22-14 (Algorithmic) (LO. 10)

Matulis, Inc., a C corporation, owns a single asset with a basis of $424,000 and a fair market value of $1,017,600. Matulis elects S corporation status. Matulis holds a positive E & P balance. The entity elects S corporation status for 2021 and then sells the asset.

Compute the corporate-level built-in gains tax that must be paid by Matulis.

If required, round your answer to the nearest dollar. $fill in the blank 1

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