LO 7-2 47. George bought the following amounts of Stock A over the years: Date Purchased Number of Shares Stock A Stock A Stock A 11/21/1995 1,000 3/18/2001 500 5/22/2010 750 LO 7-2 Adjusted Basis $24,000 9,000 27,000 On October 12, 2021, he sold 1,200 of his shares of Stock A for $38 per share. a) How much gain/loss will George have to recognize if he uses the FIFO method of accounting for the shares sold? b) How much gain/loss will George have to recognize if he specifically identifies the shares to be sold by telling his broker to sell all 750 shares from the 5/22/2010 purchase and 450 shares from the 11/21/1995 purchase? 48. During the current year, Ron and Anne sold the following assets: Capital Asset Holding Period L stock M stock N stock O stock Antiques Rental home Market Value $ 50,000 Tax Basis $41,000 > 1 year 28.000 39,000 > 1 year 30,000 22,000 1 year 300,000* 90,000 > 1 year *$30,000 of the gain is 25 percent gain (from accumulated depreciation on the property). a) Given that Ron and Anne have taxable income of only $20,000 (all ordinary) be- fore considering the tax effect of their asset sales, what is their gross tax liability for 2021 assuming they file a joint return? b) Given that Ron and Anne have taxable income of $400,000 (all ordinary) before considering the tax effect of their asset sales, what is their gross tax liability for 2021 assuming they file a joint return