business 20) All of the following aro classified a) Gains and losses from involuntary conversion in a trade or fled as Section 1231 gains and losses ty used b) Gains and losses from inventory e) Gains and losses condemnations d) Gains and losses from real or depreciable property and capital assets from condemnations of Section 1231 property used in a trade or business of the capital asset transactions on his taxable i asset transactiogzains and losses for the current year. What is the S (12,500) 14,600 Short-term capital loss Long-term capital gain Long-term capital (4,500) a) Net short-term capital loss $2,400 b) Net long-term capital loss $2,400 c) Short-term capital loss $12,500, long-term capital gain S1 d) Long-term capital gain $2,100, short-term capital loss $10,100 True/False Id rather have a gain categorized as ordinary income because the rates are lower a) True b) False 23) Sam buys a gold ring 10 years ago. Sam gives the ring to Sally this year. Sally sells the ring the next day. The ring is considered long term because Sally gets Sam's holding period. a) True b) False 24) Bonus depreciation is NOT an automatic election. You must elect-in to take 100% deduction of first year cost of assets. a) True b) False