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Exercise 13-26 (Algorithmic) (L.0. 1) Sally owns real property for which the annual property taxes are $18,080. She sells the property to Kate on Apil

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Exercise 13-26 (Algorithmic) (L.0. 1) Sally owns real property for which the annual property taxes are $18,080. She sells the property to Kate on Apil 2, 2022, for s904,000. Kate pays the teal property taxes for the entire year on October 1,2022. Assume a 365-day year. Round any division to four decimal places. Round your final answers to the nearest dollar. a. How much of the property taxes can be deducted by Saly and how much by Kate? Sally can deduct $ X and Kate can deducts X of the property taxes. b. What effect does the property tax apportionment have on Kote's adjusted bosis in the preperfy? Kate's adjusted basis for the property is by the 1 X she paid that is apportioned to 5 ally. c. What effect does the apportionment have on Sally's amount realized from the sale? Sally paid none of the real property taxes and permitted to deduct the apportioned share of f X. Her amount realized is by this amount. d. How would the answers in parts (b) and (c) differ if 5 ally paid the taxes? If Sally paid the taxes, sally's amount realized would be 4 . X. Kate's adjusted basis would be x

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