Charles and Elizabeth file their individual tax return as married filing jointly. Their 2020 income tax facts are: Charles' wages $160,000 Victoria's wages 220,000 Long-term capital loss from sale of India, Inc. stock (82,000) (20,000) Ordinary loss from Windsor Partnership Sec. 1231 gain from Cambridge Partnership (passive activity) Short-term capital gain from sale of Brexit Corp. stock 28,000 45,000 *Charles owns the partnership interest. His at-risk investment in Windsor Partnership was $40,000 at the end of 2019. Charles is a material participant in the partnership. What is Charles' and Victoria's gross income for 2020? Show computations. The chart below describes the $ 1231 assets sold by the Teal Company (a sole proprietorship) in 2020, Compute the gain or loss from each asset disposition and identify the tax character (ordinary, long-term capital gain/loss or short-term capital gain/loss) of each gain or loss for the following assets: There is no Sec. 1231 look back loss) Asset Acquired Sold Cost Depreciation Sale Price Stamping machine 9/1/2016 6/18/2020 $42.000 $31,000 $7,500 Warehouse building 8/22/2013 4/23/2020 120,000 28,000 140,000 Tractor 5/16/2015 11/13/2020 60,000 45,000 28,000 Kim plans to open a computer accessories store and to hire Julie and Marie to work in the store. Kim will invest only her funds. She expects that she will operate at a loss for at least two years and thereafter, she will only make a small profit in the following three years. She hopes to expand the business eventually and maybe someday do a public stock offering. Kim has hired you to advise her as to what tax structure she should initially use to set up the business. What is your advice and why? Discuss and explain your