Shenandoah Skies is the name of an oil painting by artist Kara Lee. In each of the following cases, determine the amount and character of the taxpayer’s gain or loss on sale of the painting. A. The taxpayer is Kara Lee, who sold her painting to the Reller Gallery for $6,000.
B. The taxpayer is the Reller Gallery, who sold the painting purchased from Kara to a regular customer for $10,000.
C. The taxpayer is Lollard Inc., the regular customer that purchased the painting from the Reller Gallery. Lollard displayed the painting in the lobby of its corporate headquarters until it sold Shenandoah Skies to a collector from Dallas. The collector paid $45,000 for the painting.

a. Kara Lee is the painter so the painting is simply part of her normal business operations in selling it.

Amount is $6,000 and this is a sale.

b. Taxpayer is Reller Gallery who sold the painting as part of their normal business operations.

Profit on Sale = Amount sold - Amount purchased

= 10,000 - 6,000

= $4,000

Amount is $4,000 and the nature is ordinary business income.

c. Lollard Inc sold this painting even though it is not part of their normal operations.

This is therefore a gain.

Gain = 45,000 - 10,000

= $35,000

Amount is $35,000 and is a Capital Gain.

you can lose ranking 2 ways.

1) you don't have enough points due to you expending them by asking questions/your answers are deleted.

2) your brainliest's expired. this means that brainliests, once they exceed the 30 day limit, expires. this is to ensure that you continue to contribute into the community at a constant rank if you want to continue to have/exceed the rank you have right now.

if you go to profile, and click "show more information" located on the bottom left of the box with your information (on top of the questions answered, questions asked, and friends), you will be given the following information (example):

member since : 02/13/2017, 18: 11

questions answered: 9741

questions asked: 162

no. of brainliest answers: 1575

brainliest answers in last 30 days: 10

warnings: 0 view

questions/answers reported: 2637

questions/answers incorrectly reported: 64

look at the "brainliest answers in the last 30 days". this is the one that will affect your rank other than your points. again, once your brainliest expires (was earned 31+ days ago), it will not be counted.

~