William sold Section 1245 property for $25,000 in 2012. The property cost $35,000 when it was purchased

Question:

William sold Section 1245 property for $25,000 in 2012. The property cost $35,000 when it was purchased 5 years ago. The depreciation claimed on the property was $16,000.
a. Calculate the adjusted basis of the property. $____________
b. Calculate the recomputed basis of the property. $____________
c. Calculate the amount of ordinary income under Section 1245. $____________
d. Calculate the Section 1231 gain. $____________
Fantastic news! We've Found the answer you've been seeking!

Step by Step Answer:

Related Book For  answer-question

Income Tax Fundamentals 2013

ISBN: 9781285586618

31st Edition

Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill

Question Posted: