Required information 4 Problem 11-47 (LO 11-5) (Static) (The following information applies to the questions displayed below.] Part 1 of 3 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original cost Depreciation Gain/Loss Computers s 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-a (Static) a1. What is the amount and character of Buckley's gains or losses for the current year? a2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req al Reg az Calculate Buckley's tax liability or tax savings for the year. Tax liability 350 5 Required information Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.] Part 2 of 3 Buckley, an individual, began business two years ago and has never sold a 51231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/LOSS Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-b (Static) b1. Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? b2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req bi Req b2 Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? Description $1245 gain $1231 gain Amount $ 7,000 $ 1,000 5 Required information Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.) Part 2 of 3 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-b (Static) b1. Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? b2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req b1 Req b2 Calculate Buckley's tax liability or tax savings for the year. Tax liability $ 2,700 X Problem 11-47 (LO 11-5) (Static) {The following information applies to the questions displayed below. 6 Asset Part 3 of 3 Part 3 013 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-c (Static) c1. Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? c2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Show less Req ci Req c2 Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? Amount Description $1245 gain $1231 gain $ 7.000 $ 10,000 6 Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.] Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) Part 3 of 3 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-c (Static) c1. Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? c2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Show less Req c1 Req c2 Calculate Buckley's tax liability or tax savings for the year. Tax liability $ 4,950 Required information 4 Problem 11-47 (LO 11-5) (Static) (The following information applies to the questions displayed below.] Part 1 of 3 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original cost Depreciation Gain/Loss Computers s 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-a (Static) a1. What is the amount and character of Buckley's gains or losses for the current year? a2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req al Reg az Calculate Buckley's tax liability or tax savings for the year. Tax liability 350 5 Required information Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.] Part 2 of 3 Buckley, an individual, began business two years ago and has never sold a 51231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/LOSS Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-b (Static) b1. Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? b2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req bi Req b2 Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? Description $1245 gain $1231 gain Amount $ 7,000 $ 1,000 5 Required information Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.) Part 2 of 3 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-b (Static) b1. Assume that the amount realized increased so that the building was sold at a $6,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? b2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Req b1 Req b2 Calculate Buckley's tax liability or tax savings for the year. Tax liability $ 2,700 X Problem 11-47 (LO 11-5) (Static) {The following information applies to the questions displayed below. 6 Asset Part 3 of 3 Part 3 013 Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-c (Static) c1. Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? c2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Show less Req ci Req c2 Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? Amount Description $1245 gain $1231 gain $ 7.000 $ 10,000 6 Problem 11-47 (LO 11-5) (Static) [The following information applies to the questions displayed below.] Buckley, an individual, began business two years ago and has never sold a $1231 asset. Buckley has owned each of the assets since he began the business. In the current year, Buckley sold the following business assets: Accumulated Asset Original Cost Depreciation Gain/Loss Computers $ 6,000 $ 2,000 $ (3,000) Machinery 10,000 4,000 (2,000) Furniture 20,000 12,000 7,000 Building 100,000 10,000 (1,000) Part 3 of 3 8.3/10 points awarded Scored Assuming Buckley's marginal ordinary income tax rate is 32 percent, answer the questions for the following alternative scenarios: Problem 11-47 Part-c (Static) c1. Assume that the amount realized increased so that the building was sold at a $15,000 gain instead. What is the amount and character of Buckley's gains or losses for the current year? c2. Calculate Buckley's tax liability or tax savings for the year. Complete this question by entering your answers in the tabs below. Show less Req c1 Req c2 Calculate Buckley's tax liability or tax savings for the year. Tax liability $ 4,950