Problem 3-40 (LO. 1) During 2018, Gorilla Corporation, a calendar year C corporation, has net short-term capital gains of $15,000, net long-term capital losses of $105,000, and taxable income from other sources of $460,000. Prior years' transactions included the following. 2014 net short-term capital gains 2015 net long-term capital gains 2016 net short-term capital gains 2017 net long-term capital gains $40,000 18,000 25,000 20,000 If an amount is zero, enter "o a. How much is Gorilla's net capital loss for 2018 90,000 What is the amount of the capital loss deduction on Gorilla's 2018 tax return? Any excess net capital loss is carried back or forward as a short term capital loss b. Of the excess 2018 net capital loss, how much is carried back to the previous years? 63,000 Feedback Check My Work Correct c. Compute the amount of capital loss carryover to 2019 and future years. 27,000 Indicate the years to which the loss may be carried. Select "Yes" or "No", which ever is appropriate. 2019 2020 2021 2022 2023 Yes v Yes V Yes Yes v Yes v d. If Gorilla is a sole proprietorship, rather than a corporation, how would the owner report these transactions on her 2018 tax return? Gorilla offsets 15,000 | of capital gains against her capital V losses and deducts an additional 3,000 in capital losses .The remaining 87,000 V is carried forward indefinitely V . Feedback Check My Work Correct e. Assume that Gorilla Corporation's capital loss carryforward in part (c) is $27,000 and that Gorilla will be able to use $11,000 of the carryover to offset capital gains in 2019 and the remaining $16,000 to offset capital gains in 2020. Assume the following: A discount rate of 5%. Present value factors - 1.000 for 2015-2018; 0.9524 for 2019 and 0.9070 for 2020. Gorilla Corporation's marginal income tax rate is 34% for all tax years prior to 2018. Round your computations to the nearest dollar . * In present value terms, determine the tax savings of the $105,000 long-term capital loss recognized in 2018