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Amy and Brian were investigating the acquisition of a tax accounting business, Bottom Line incorporated (BLI). As part c their discussions with the sole shareholder

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Amy and Brian were investigating the acquisition of a tax accounting business, Bottom Line incorporated (BLI). As part c their discussions with the sole shareholder of the corporation, Ernesto Young, they examined the company's tax accounting balance sheet. The relevant information is summarized as follows: Note: Leave no answer blank. Enter zero if applicable. Negative amounts should be indicated by a minus sign. The mortgage is attached to the building and land. Ernesto was asking for $344,000 for the company. His tax basis in the BLI stock was $100,000. Included in the sales price was an unrecognized customer list valued at $100,000. The unallocated portion of the purchase price ($80,000) will be recorded as goodwill. Assume Ernesto agrees to sell his stock in BLI to Amy and Brian for $344,000. Required: a. What amount of gain or loss does BLI recognize if the transaction is structured as a stock sale to Amy and Brian? What amount of corporate-level tax does BLI pay as a result of the transaction? b. What amount of gain or loss does Ernesto recognize if the transaction is structured as a stock sale to Amy and Brian? c. What are the tax benefits, if any, to Amy and Brian as a result of structuring the acquisition as a stock sale? Complete this question by entering your answers in the tabs below. What amount of gain or loss does BUI recognize if the transaction is structured as a stock sale to Amy and Brian? What amount of corporate-level tax does BLI pay as a result of the transaction

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