Patel Industries, a sole proprietorship, sold the following assets in $2023$:

Asset Cost Acquired Depreciation Sale Price Sale Date

Warehouse $ $150,00010/10/2016$ $ $25,801$ $ $175,00003/15/2023$

Truck $18,00001/15/20226,48016,00001/14/2023$

Computer $25,00007/31/20226,63417,00008/31/2023$

Required:

The following questions relate to the sale of the warehouse:

What is the adjusted basis of the warehouse?

What is the realized gain on the warehouse?

What amount of the gain is taxed according to $1250$ rules?

What amount is considered a $1231$ gain before netting?

The following questions relate to the sale of the truck:

What is the adjusted basis of the truck?

What is the realized gain on the truck?

What amount of the gain is taxed according to $1245$ rules?

What amount of the gain is taxed as ordinary income?

The following questions relate to the sale of the computer:

What is the adjusted basis of the computer?

What is the realized gain or loss on the sale?

Which IRC section code applies to this asset? a$.$ The following questions relate to the sale of the warehouse:

$1.$ What is the adjusted basis of the warehouse?

$2.$ What is the realized gain on the warehouse?

$3.$ What amount of the gain is taxed according to $1250$ rules?

$4.$ What amount is considered a $1231$ gain before netting?

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Amounts

$1.$ Adjusted basis

$2.$ Realized gain

$3.1250$ Realized gain

$4.1231$ Realized gain b$.$ The following questions relate to the sale of the truck:

$1.$ What is the adjusted basis of the truck?

$2.$ What is the realized gain on the truck?

$3.$ What amount of the gain is taxed according to $1245$ rules?

$4.$ What amount of the gain is taxed as ordinary income?

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Amounts

$1.$ Adjusted basis

$2.$ Realized gain

$3.1245$ Realized gain

$4.$ Realized gain taxed as ordinary income c$.$ The following questions relate to the sale of the computer:

$1.$ What is the adjusted basis of the computer?

$2.$ What is the realized gain or loss on the sale?

$3.$ Which IRC section code applies to this asset?

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$1.$ Adjusted basis

$2.$

$3.$ IRC section code