Use the information below to complete both parts of the

July 23, 2022

Use the information below to complete both parts of the case study using the Lesson 5 Case Study Template(opens in a new tab).
Be sure to answer all questions and complete all sections.

Part 1

During 2021, Catalina, a single individual, reported the following taxable income:

Part 2

Scenario

In the current year, Alma’s accounting office was partially destroyed by a hurricane. Alma’s adjusted basis in the building was $275,000 and the decline in its fair market value was $175,000. Insurance proceeds amounted to $160,000.

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Use the information below to complete both parts of the

Part 1

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