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I:12-53 At the beginning of 2017, Donna Harp was employed as a cinematographer by Farah Movie, Inc., a motion picture company in Los Angeles, California.

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I:12-53 At the beginning of 2017, Donna Harp was employed as a cinematographer by Farah Movie, Inc., a motion picture company in Los Angeles, California. In June, she accepted a new job with Ocala Production in Orlando, Florida. Donna is single and her Social Security number is 000-00-1111. She sold her house in California on August 10 for S500,000. She paid a $14,000 sales commission. The house was acquired on March 23, 1990, for $140,000. The cost of transporting her household goods and personal effects from California to Orlando amounted to $2,350. To travel from California to Florida, she paid travel and lodging costs of $370 and $100 for meals. On July 15, she purchased a house for $270,000 on 1225 Minnie Lane in Orlando. To purchase the house, she incurred a 20-year mortgage for $170,000. To obtain the loan, she paid points of $3,400. The $3,6 prorated with $1,950 being apportioned to the seller and $1,650 being apportioned to the buyer. In December of the current year she paid $3,600 for property taxes 00 of property taxes for the house in Orlando were Other information related to her return: Salary from Farah Movie, Inc. Salary from Ocala Production, Inc. Federal income taxes withheld by Farah Federal income taxes withheld by Ocala FICA taxes withheld by Farah FICA taxes withheld by Ocala Interest income from Sun National Bank Dividend income (qualifying dividends) Interest paid for mortgage: $30,000 70,000 6,000 22,000 2,295 5,355 1,800 10,000 Home in California Home in Orlando Property taxes paid in California Sales taxes paid in California and Florida State income taxes paid in California 6,780 3,800 4,100 3,125 2,900 a. Determine the amount of recognized gain on the sale of the residence. b. Prepare Forms 3903, 8960, and 1040, including Schedules A, B, and D

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