Frank Burns won the lottery and has decided to spend his remaining years living on cruise ships travelling the world (he apparently is ignorant to the fact that cruise ships are very polluting and needs an education on this front, but alas, we digress from our story here). As a result, he sold most of his assets in 2022 as follows:

Item	Sale Proceeds	Original Purchase Price	Notes
House (purchased in 2007)	$800,000	$350,000	Over the years, Frank upgraded aspects of the home including: finished the basement ($25,000), increased the attic and wall insulation ($8,000), changed carpeting to hardwood flooring ($17,000)
Mazda3	$10,000	$28,000
1975 Ford Mustang convertible, a classic	$16,000	$10,000
Cottage	$720,000	$0	Frank inherited the cottage from his mother upon her death in 2010. At that time, its fair market value was $475,000.
Cottage art piece	$10,500	$700
First edition manuscript	$1,400	$8,000	The author became unpopular after it was discovered he had been involved in illegal and inappropriate behaviour in his time. I wont disturb you with the details.
Vacant land	$100,000	$160,000	Frank sold this land to his son who wants to start a farm at a bargain price. In 2022, its fair market value was $250,000.

Required solve in excel* 1) Given the above information, calculate the balance in 3(b) which Frank should report on his 2022 tax return. 2) Assuming Frank had $10,000 of net capital loss carryovers, discuss how this would be treated if: a. The net capital loss carryovers stemmed for the disposition of LPP in the recent past. b. The net capital loss carryovers did NOT stem from LPP dispositions, but rather from other sources. 3) Frank is wondering if his lottery winnings are taxable. Please advise.