Question: Please use this information for the next THREE questions! This question is worth 9 points, as allocated to parts a, b, and c below. Don,
Please use this information for the next THREE questions!
This question is worth 9 points, as allocated to parts a, b, and c below.
Don, Peggy, and Roger operate an advertising agency located on Madison Avenue in New York City as a partnership. Don owns 60% of the business, Peggy owns 30%, and Roger owns 10%. For the current year, the advertising agency reports the following from its operations:
| Sales Revenues | $972,000 |
| Trade and business expenses (salaries, utilities, rent, etc.) | $457,000 |
| Charitable Contributions | $30,000 |
| Short Term Capital Losses | $46,000 |
| Long Term Capital Gains | $15,000 |
Assume Roger is single and has the following capital gains and losses before considering anything from the partnership. What amount of capital gain or loss will Roger report on his individual 1040 and what will be the nature (short or long term) of the gain or loss be?
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