Alpha Corporation had income from operations of $30,000.What is the corporation's taxable income including the following property transactions: Gain on investment stock = $8,000;loss on machinery held three years = $6,000;$4,000 loss on equipment held 10 months;$4,000 gain on land used for six years for storage of trucks.
A)$25,000
B)$27,000
C)$30,000
D)$32,000

Question

Quizplus · Accepted Answer

Taxable income = 
Income from operations + Gain on investment stock + Loss on machinery held three years + Loss on equipment held 10 months + Gain on land used for six years for storage of trucks 
= $30,000 + $8,000 - $6,000 - $4,000 + $4,000 
= $32,000

Alpha Corporation Had Income from Operations of $30,000