Would like the answer to these following questions using the information in the picture

1.Novell Inc. has a deemed year-end on ________________ because __________________________________________________________.

2.Please recalculate the division B income after recognizing any accrued losses or gains that are required to be recognized on the deemed year-end (do not make any election)

3. If no election is made, the amount of losses that will expire at the deemed year-end is

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On August 1, 2019, an unrelated person acquired 75% of the voting shares of Novell Inc. The values of the assets owned by Novell Inc. at August 1, 2019 were as follows: Assets Cost UCC FMV Inventory $10,000 N/A 58,000 Accounts Receivable $25,000 N/A $17,000 Equipment $31,000 $29,000 $13,000 Building $25,000 $10,000 $52,000 Marketable securities $30,000 N/A $10,000 Land $10,000 N/A $150,000 Goodwill $50,000 $39,000 $32,000 In determining the value of the receivables, the collectability of each debt was considered individually. Novell Inc.'s tax return for its year ended December 31, 2018 showed the following balances in its loss accounts: Net capital loss- $50,000 (from 2014) Non capital loss- $100,000 (from 2009- all from business) Up until July 31, 2019, Novell's division B income (before any recognition of accrued losses) could be calculated as follows: Net taxable capital gains $6,000 Business losses -540.000 Division B income SO The accountant is projecting income of $200,000 for Novell Inc. over the next 12 months after the AOC. The projected income is from the business that incurred the losses