Lily's taxable income before these transactions is $193,700. What are Lily's taxable incom and tax liability for the year? Use Tax Rate Schedule for reference. Note: Do not round intermediate calculations. Round your final answers to the neares whole dollar amount. Description Taxable income Tax liability $ 69 Amount 237,100
Lily's taxable income before these transactions is $193,700. What are Lily's taxable incom and tax liability for the year? Use Tax Rate Schedule for reference. Note: Do not round intermediate calculations. Round your final answers to the neares whole dollar amount. Description Taxable income Tax liability $ 69 Amount 237,100
Chapter14: Choice Of Business Entity—operations And Distributions
Section: Chapter Questions
Problem 44P
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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
$ 233,200
83,200
Cost
$ 203,200
151,200
Accumulated
Depreciation
$ 55,200
26,200
Lily's taxable income before these transactions is $193,700. 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.
Description
Amount
Taxable income
$
237,100
Tax liability
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