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In the Current Year, Auto Rent Corporation Reported the Following

Question 145

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In the current year, Auto Rent Corporation reported the following taxable income at the end of its first, second, and third quarters:  Fair market value of stock received $400,000 Cash received trom Paper Lilies 50,000 Amount realiz ed $450,000-Adjusted tax basis of the property transterred 200,000 Gain realized $250,000\begin{array} { | l | r | } \hline \text { Fair market value of stock received } & \$ 400,000 \\\hline \text { Cash received trom Paper Lilies } & 50,000 \\\hline \text { Amount realiz ed } & \$ 450,000 \\\hline \text {-Adjusted tax basis of the property transterred } & 200,000 \\\hline \text { Gain realized } & \$ 250,000 \\\hline\end{array} What amount of estimated tax payments would Auto Rent pay each quarter in order to avoid estimated tax penalties under the annualized income method of computing estimated tax payments?

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First quarter $510,000; ($1,500,000 × 4 ...

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