Using the following independent situations, answer the following questions: Situation #1 Clara received from her Aunt Sona, property with a FMV at the date of the gift of $50,000. Aunt Sona purchased the property five years ago for $43,000. Clara sold the property for $52,000.

a.What is the basis to Clara?

b.What is Claras gain on the sale?

c.If Clara is in the 37% tax bracket, what is the tax on the gain (assuming she has no other gains/losses to be netted)?

d.If Clara is in the 24% tax bracket, what is the tax on the gain (assuming she has no other gains/losses to be netted)?

Situation #2 Clara received from her Aunt Sona, property with a FMV at the date of the gift of $33,000. Aunt Sona purchased the property five years ago for $40,000.

a.If Clara sold the property for $48,275, what is her gain or loss on the sale?

b.If Clara sold the property for $37,835, what is her gain or loss on the sale?

c.If Clara sold the property for $30,835, what is her gain or loss on the sale?

Situation 1 Situation 2 Clara received from her Aunt Sona, property with a FMV at the date of the gift of $50,000. Aunt Sona purchased the property five years ago for $43,000. Clara sold the property for $52,000. a. What is the basis to Clara? b. What is Clara's gain on the sale? c. If Clara is in the 37% tax bracket, what is the tax on the gain (assuming she has no other gains/losses to be netted)? d. If Clara is in the 24% tax bracket, what is the tax on the gain (assuming she has no other gains/losses to be netted)? Show less a. Basis of the property b. Gain on sale c. Tax on gain on sale d. Tax on gain on sale 43,000 9,000 Situation 1 Situation 2 Clara received from her Aunt Sona, property with a FMV at the date of the gift of $33,000. Aunt Sona purchased the property five years ago for $40,000. a. If Clara sold the property for $48,275, what is her gain or loss on the sale? b. If Clara sold the property for $37,835, what is her gain or loss on the sale? c. If Clara sold the property for $30,835, what is her gain or loss on the sale? Show less 8,275 a. Gain b. No gain or Loss c.Loss 0 2,165