Mr. and Mrs. Kilo, married filing jointly, purchased their first home in 2003 for $240,000. They sold this home in 2007 for $210,000. They purchased their second home in 2008 for $435,000 and sold it this year for $1,150,000. Assume the taxable year is 2022 . Required: a. Did the Kilos recognize a deductible loss on the 2007 sale of their first home? b. Compute the income tax and Medicare contribution tax on the Kilos' gain on the sale of their home this year if their preferential rate on long-term capital gain is 20 percent. Complete this question by entering your answers in the tabs below. Compute the income tax and Medicare contribution tax on the Kilos' gain on the sale of their home this year if their preferential rate on long-term capital gain is 20 percent