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Amelia's business goes bankrupt this year. To dose her business, Amelia starts by selling off her business assets. Below are the asset disposition transactions: Assume
Amelia's business goes bankrupt this year. To dose her business, Amelia starts by selling off her business assets. Below are the asset disposition transactions: Assume there is no Section 179 and bonus depreciation. Use MACRS only for depreciation. Show detailed calculation and explanation a) Point out the exact character of gain/loss for each asset gain/loss (ex Ordinary, pure 1231, 1245, 1250, etc.) b) Calculate the Net 1231 Gain/Loss Hint Be aware of 1245 Depreciation recapture and 1231 lookback rules
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