recorded as goodwill. (Negative amounts should be indicated by a minus sign.) a. What amount of gain or loss does BLI recognize if the transaction is structured as a direct asset sale to Amy and Brian? What amount of corporate-level tax does BLI pay as a result of the transaction? Cash paid Liabilities assumed Amount realized Adjusted Basis Gain or Loss Recognized Tax Rate % Tax Required information (The following information applies to the questions displayed below.) Amy and Brian were investigating the acquisition of a tax accounting business, Bottom Line Inc. (BLI). As part of their discussions with the sole shareholder of the corporation, Ernesto Young, they examined the company's tax accounting balance sheet. The relevant information is summarized as follows: Appreciation Cash Receivables Building Land Total Adjusted FMV Basis $ 17,250 $ 17,250 21,200 21,200 110,000 55,000 248, 250 82,750 $396,700 $ 176,200 55,000 165,500 $ 220,500 Payables Mortgage* Total $ 18,100 $ 18,100 153,000 153,000 $171,100 $ 171,100 * The mortgage is attached to the building and land. Ernesto was asking for $425,600 for the company. His tax basis in the BLI stock was $170,000. Included in the sale price was an unrecognized customer list valued at $109,000. The unallocated portion of the purchase price ($91,000) will be recorded as goodwill. (Negative amounts should be indicated by a minus sign.)