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Abigail?s business property (located in Gaston Co...

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Question

Abigail?s business property (located in Gaston County USA) was condemned by the proper local authorities. Immediately before the condemnation, the property had a fair market value of $400,000 and Abigail?s adjusted basis in the property was $200,000. The local authorities replaced Abigail?s condemned property with similar Gaston County property having a fair market value of $300,000. What is Abigail?s realized gain or loss relating to these matters? a. $0 b. Loss of $100,000 c. Gain of $100,000 d. Gain of $300,000 Assume the facts stated in the prior question. What is Abigail?s recognized gain or loss relating to such matters? a. $0 b. Loss of $100,000 c. Gain of $100,000 d. Gain of $300,000 Assume the facts stated in the prior two questions. What is Abigail?s basis in the Gaston County property she received as a result of the condemnation (i.e., what is Abigail?s basis in the new property)? a. $0 b. $100,000 c. $200,000 d. $300,000

 

Paper#7409 | Written in 18-Jul-2015

Price : $25
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