Required information [The following information applies to the questions displayed below.) ABC Corp., a calendar-year corporation, previously operated as a C corporation. At the beginning of 2020, ABC Corp.'s S election became effective. ABC Corp.'s balance sheet at the end of 2019 reflected the following assets (it did not have any earnings and profits from its prior years as a C corporation). Asset Cash Accounts receivable Inventory Land Totals Adjusted Basis FMV $ 20,500 $ 20,500 40,600 40,600 91,100 202,100 154,000 179,400 $306,200 $ 442,600 In 2020, ABC Corp. reported business income of $51,000 (this would have been its taxable income if it were still a C corporation) ABC Corp. sold a portion of its inventory in 2020. ABC owned the sold inventory at the beginning of 2020. The sold inventory had a basis of $55,900, and ABC Corp. sold it for $101,300. What is ABC Corp.'s built-in gains tax on the sale of the inventory in 2020? Built-in gains tax Required information [The following information applies to the questions displayed below.) ABC Corp., a calendar-year corporation, previously operated as a C corporation. At the beginning of 2020, ABC Corp.'s S election became effective. ABC Corp.'s balance sheet at the end of 2019 reflected the following assets (it did not have any earnings and profits from its prior years as a C corporation). Asset Cash Accounts receivable Inventory Land Totals Adjusted Basis FMV $ 20,500 $ 20,500 40,600 40,600 91,100 202,100 154,000 179,400 $306,200 $ 442,600 In 2020, ABC Corp. reported business income of $51,000 (this would have been its taxable income if it were still a C corporation) ABC Corp. sold a portion of its inventory in 2020. ABC owned the sold inventory at the beginning of 2020. The sold inventory had a basis of $55,900, and ABC Corp. sold it for $101,300. What is ABC Corp.'s built-in gains tax on the sale of the inventory in 2020? Built-in gains tax