Elaine Case (single with no dependents) has the following transactions in 2018: AGI (exclusive of capital gains and losses) Long-term capital gain Long-term capital loss Short-term capital gain Short-term capital loss $240,000 22,000 (8,000) 19,000 (23,000) a. Elaine has a net long-term capital of and a net short-term capital of . As a result, she has an overall net capital of b. Complete the letter to Elaine describing how the net capital gain or loss will be treated on her tax return. Assume Elaine's income from other sources puts her in the 37% bracket. If required, round your answer to one decimal place. Maloney, Raabe, Hoffman,&Young, CPAs 5191 Natorp Boulevard Mason, OH 45040 March 17, 2019 Ms. Elaine Case 300 Ireland Avenue Shepherdstown, WV 25443 Dear Ms. Case: The purpose of this letter is to discuss the result of your stock transactions for 2018. You had net of capital gains and of capital losses. Subtracting the $ of losses from the of results in a net capital gain. The net capital gain and the details of your stock transactions be reported on the Schedule D attached to your Form 1040. The net capital for the alternative tax on capital gains and will be taxed at a % rate rather than at your marginal tax rate of 37%. Thank you for the opportunity to be of service. Please call me if you have additional questions