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In December 2022, Soraya Corporation sold land it held as an investment. The corporation received $50,000 in 2022 and a note payable (with adequate interest)
In December 2022, Soraya Corporation sold land it held as an investment. The corporation received $50,000 in 2022 and a note payable (with adequate interest) for $150,000 to be paid in 2024. Soraya cost of the land was $80,000. The corporation has a $90,000 net capital loss carryover that will expire in 2022.
Discussion Question 16-17 (LO. 4, 7) In December 2022, Soraya Corporation sold land it held as an investment. The corporation received $50,000 in 2022 and a note payable (with adequate interest) for $150,000 to be paid in 2024. Soraya cost of the land was $80,000. The corporation has a $90,000 net capital loss carryover that will expire in 2022. Complete the statement below as to whether Soraya should report the sale in 2022 or use the installment method to report the income as payments are received. Soraya Corporation should the installment method since the gain of \$ be used to offset the net capital loss carryoverStep by Step Solution
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