17. JB made the following exchanges during the taxable year:

1) A condominium unit by a dealer in condominiums for a machine used in a trade or business

2) Land held for investment for a building used in a rental business

3) Stock held for investment for equipment used in trade or business

4) A business truck for a business truck both used in a trade or business

5) Land held for investment in NY for land held for investment in London

Which of the five exchanges described above would not qualify for a deferred exchange?

A. All - 1, 2, 3, 4 & 5.

B. Only 1, 3, & 5.

C. Only 1, 2 & 4.

D. Only 2, 3 & 4.

E. Only 2 & 4.

18. The involuntary conversion rules can result in a deferral of gain from the receipt of insurance proceeds after a fire if:

A. The local government provides money as a result of the disaster.

B. There is a second fire that destroys the replacement property within 2 years.

C. The check received for the insurance proceeds is not cashed for 2 years.

D. The replacement property has to be identified within 45 days of the involuntary conversion.

E. The owner replaces property with the same type of property or property similar in nature within 2 years.