Problem 3-38 (LO. 1, 3) In the current year, Tanager Corporation (a calendar year C corporation) had operating income of $480,000 and operating expenses $390,000. In addition, Tanager had a long-term capital gain of $55,000 and a short-term capital loss of $40,000. a. Compute Tanager's taxable income and tax for the year. Taxable income: $ 105,000 Income tax: $ 24,200 x Feedback Check My Work Capital gains and losses result from the taxable sales or exchanges of capital assets. Whether these gains and losses are long-term or short-term depend upon the holding period of the assets sold or exchanged. Net capital losses of corporate and individual taxpayers receive different income tax treatment. b. Assume the same facts except that Tanager's long-term capital gain was $15,000. Compute Tanager's taxable income and tax for the year. Taxable income: $ 90,000 Income tax: $ 18,850 X