Ernesto was asking for $$496,000$ for the company. His tax basis in the BLI stock was $$150,000.$ Included in the sales price was an unrecognized customer list valued at $$150,000.$ The unallocated portion of the purchase price $($$$120,000)$ will be recorded as goodwill.

Assume Ernesto agrees to sell his stock in BLI to Amy and Brian for $$496,000.$

Problem $8-58$ Part a $($Algo$)$

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 because of the transaction?