question 18

Brandon, an individual, began business four years ago and has never sold a $1231 asset Brandon owned each of the assets for several years. In the current year, Brandon sold the following business assets Original Accumulated Cost Depreciation Goin/Loss Machinery $ 30,000 $7,000 $10,000 Computers 10,000 6,000 (2.000) Building 90,000 20.000 (2.000) Assuming Brandon's marginal ordinary income tax rate is 32 percent, what effect do the air and lowes have on Brandon's tax tobity Moe Choice 37000 ordinary income St00012510, and S1920 to be 56.000 ordinary income and S920 tabaty 52000 5231 and 52.240 toxy Help Machinery Computers Building $ 30,000 19,900 90,000 mere $7,000 6,000 20,000 $10,000 (2,690) (2,000) Assuming Brandon's marginal ordinary income tax rate is 32 percent, what effect do the gains and losses have on Brandon's tax ability Multiple Choice $7,000 ordinary income, 5100011231 loss, and $1.920 x lability $6,000 ordinary income and 51.920 tax liability $7000 51231 nin and $2.240 tax liability $7,000 $1231 gain and S1050 tax liability None of the choices are correct