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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 Acc Basis 11,5 88,488 31,see 171,758 Depr.Sale Price $ 69 , see 168,60e $ Marketable securities Production equipment Business realty: Land Building 21e,800 231 , see 234,eee 70 , 2ee 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 securitles for $175,200 rather than $69,500
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