Lily Tucker (single) owns and operates a bike shop as a sole proprietorship. In 2022, she sells the following long-term assets used in her business: Asset Building Equipment Sales Price $ 233,800 83,800 Cost $ 203,800 151,800 Accumulated Depreciation $ 55,800 26,800 Lily's taxable income before these transactions is $194,300. What are Lily's taxable income and tax liability for the year? Use Tax Rate Schedule for reference. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.
Lily Tucker (single) owns and operates a bike shop as a sole proprietorship. In 2022, she sells the following long-term assets used in her business: Asset Building Equipment Sales Price $ 233,800 83,800 Cost $ 203,800 151,800 Accumulated Depreciation $ 55,800 26,800 Lily's taxable income before these transactions is $194,300. What are Lily's taxable income and tax liability for the year? Use Tax Rate Schedule for reference. Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.
SWFT Essntl Tax Individ/Bus Entities 2020
23rd Edition
ISBN:9780357391266
Author:Nellen
Publisher:Nellen
Chapter18: Comparative Forms Of Doing Business
Section: Chapter Questions
Problem 36P
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Transcribed Image Text:Lily Tucker (single) owns and operates a bike shop as a sole proprietorship. In 2022, she sells the following long-term assets used in
her business:
Asset
Building
Equipment
Sales Price
$ 233,800
83,800
Description
Taxable income
Tax liability
Cost
$ 203,800
151,800
Lily's taxable income before these transactions is $194,300. What are Lily's taxable income and tax liability for the year? Use Tax Rate
Schedule for reference.
Note: Do not round intermediate calculations. Round your final answers to the nearest whole dollar amount.
$
Amount
Accumulated
Depreciation
$ 55,800
26,800
238,900
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