1-Carlton holds undeveloped land for investment. His adjusted basis in the land is $146,850, and the FMV is $244,750. On November 1, 2020, he exchanges this land for land owned by his son, who is 31 years old. The appraised value of his son's land is $236,500 with a basis of $220,000.

a. Calculate Carlton's realized and recognized gain or loss from the exchange with his son if Carlton does not sell the land received from his son, but his son sells the land received from Carlton on July 19, 2021.

Amount

Realized gain on exchange

Total recognized gain

2- Pedro sells investment land on September 1, 2020. Information pertaining to the sale follows:

Adjusted basis	$ 20,000
Selling price	72,000
Selling expenses	1,000
Down payment	8,000
Four installment payments	12,000
Mortgage assumed by the buyer	16,000

Required:

Each installment payment is due on September 1 of 2021, 2022, 2023, and 2024 (ignore interest). Determine the tax consequences in 2020, 2021, 2022, 2023, and 2024. (Do not round intermediate calculations. Round your final answers to nearest whole dollar value.)

3- Henry, who earned $127,800 during 2020, is paid on a monthly basis, is married, (spouse does not work) and two dependents who are under the age of 17. Assume that Henry has only one job or that step 2 of Form W-4 is not checked. Also, his employer uses the percentage method table for an automated payroll system. Use percentage method tables for automated systems.

Required:

1. What is Henry's federal tax withholding for each pay period?
2. What is Henry's FICA withholding for each pay period?

(For all requirements, round your intermediate computations and final answers to 2 decimal places.)

	Amount
Federal income tax withholdings
Total FICA withholdings