Exerclse 13-26 (Algorlthmlc) (LO. 1) Sally owns real property for which the annual property taxes are $17,680. She sells the property to Kate on Apri 2, 2018, for $884,000. Kate pays the real property taxes for the entire year on October 1, 2018. Assume a 365-day year. Round any division to four decdmal places. Round your finel answers to the nearest dollar. a. How much of the property taxes can be deducted by Sally and how much by Kate? Sally can deduct $ 4,4and Kate can deduct X of the property taxes. Feedback Check My Work b. What effect does the property tax apportionment have on Kate's adjusted basis in the property? Kate's adjusted basis for the property is increased by the she paid that is apportioned to Sally. Feedback Check My Work c. What effect does the apportionment have on Sally's amount realized from the sale? Sally paid none of the real property taxes andspermitted to deduct the apportioned share ofX is increased by this amount. Her amount realized . Her amount realized Feedback Check My Work d. How would the answers in parts (b) and (c) differ if the taxes were paid by Sally? If the taxes were paid by Sally, Sally's amount realized would be s X . Kate's adjusted basis would be