Problem 17-55 (a) (LO. 3, 8) Henny sold three items of business equipment for a total of $90,000. None of the equipment was appraised to determine its value. Henny's cost and adjusted basis for the assets are as follows: Asset Loader Forklift Cost $55,000 $42,000 28,000 $125,000 Adjusted Basis $15,000 17,000 18,000 Backhoe Total $50,000 Henny has been unable to establish the fair market values of the three assets. All she can determine is that combined they were worth $90,000 to the buyer in this arm's length transaction. How should Henny allocate the sales price and figure the gain or loss on the sale of the three assets? Do not round intermediate computations. If required, round your final answers to the nearest dollar. a. First, Henny must consider that all 1245. If the equipment is sold for more treated as 1231 gain . of the equipment depreciation taken is subject to recapture as ordinary income than what was paid for it, the excess of the selling price over the original cost due to is b. If Henny allocates one-third of the selling price to each asset, determine the gain or loss. Allocated Sale Price Adjusted Basis Asset Difference Gain or Loss Loader $ 24,545 X $15,000 0 x $ 1245 gain Forklift 17,000 1245 gain Backhoe 32,400 Ann Y 18,000 part 1231 gain and part 1245 gain Total $90,000 $50,000 Feedback c. If Henny allocates the $90,000 selling price to each asset based on its relative original cost, determine the gain or loss. Allocated Sale Price Adjusted Basis Asset Difference Gain or Loss Loader $ 24,545 X $15,000 1245 gain Forklift 17,000 1245 gain Backhoe 32,400 x 18,000 1245 gain Total $90,000 $50,000 Feedback d. If Henny allocates the $90,000 selling price to each asset based on its relative adjusted basis, determine the gain or loss. Allocated Sale Price Adjusted Basis Asset Difference Gain or Loss Loader $ $15,000 1245 gain Forklift 17,000 $ 1245 gain Backhoe 18,000 part $ 1231 gain and part $ 1245 gain Total $90,000 $50,000