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! Required information [The following information applies to the questions displayed below.) Hart, an individual, bought an asset for $500,000 and has claimed $100,000 of
! Required information [The following information applies to the questions displayed below.) Hart, an individual, bought an asset for $500,000 and has claimed $100,000 of depreciation deductions against the asset. Hart has a marginal tax rate of 32 percent. Answer the questions presented in the following alternative scenarios (assume Hart had no property transactions other than those described in the problem): (Loss amounts should be indicated by a minus sign. Enter NA if a situation is not applicable. Leave no answer blank. Enter zero if applicable.) e1. Now assume that Hart is a C corporation. What are the amount and character of its recognized gain or loss if the asset is a nonresidential building sold for $450,000? e2. What effect does the sale have on Hart's tax liability for the year (assume a 21 percent tax rate)
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