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This year, Sigma Inc. generated $633,750 income from its routine business operations. In addition, the corporation sold the following assets, all of which were held
This year, Sigma Inc. generated $633,750 income from its routine business operations. In addition, the corporation sold the following assets, all of which were held for more than 12 months Initial Basis Depr.Sale Price Marketable securities Production equipment Business realty: 0 69,500 31,500 $ 168,600 $ 110,500 88,400 0 210,000 234,000 70,200 231,500 Land Building 171,750 Through date of sale a. Compute Sigma's taxable income assuming that it used the straight-line method to calculate depreciation on the building and has no nonrecaptured Section 1231 losses b. Recompute taxable income assuming that Sigma sold the securities for $175,200 rather than $69,500 Complete this question by entering your answers in the tabs below. Required B Required A Compute Sigma's taxable income assuming that it used the straight-line method to calculate depreciation on the building and has no nonrecaptured Section 1231 losses Taxable income Required A Required B
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