Raylenes personal automobile is destroyed by a tornado. Her insurance company paid her $5,000, which she used
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Raylene’s personal automobile is destroyed by a tornado. Her insurance company paid her $5,000, which she used to purchase a new automobile costing $10,000.
Raylene received the automobile that was destroyed as a graduation present from her uncle Earl. Earl’s basis in the automobile was $2,000. The automobile was worth
$8,000 when Raylene received it.
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Related Book For
Concepts In Federal Taxation 2011
ISBN: 9780538467926
18th Edition
Authors: Kevin E. Murphy, Mark Higgins
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