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Gains and Losses: calculations of Sec 1231 and capital items

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Case A: AGI 40,000
Net 1231 gains 19000 - 5000 = 14,000
Adjusted AGI 54,000
Section 1231 gains are capital gains

Case B: AGI 40,000
Net ...

Solution Summary

In four separate cases involving Vivian's AGI, business gains and losses plus capital gains and losses cases are analyzed for their combined effects including rights of offset and carry over amounts. A sentence of explanation is added where needed to clarify the calculations.