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ABC company exchanged an office building used in its business located in New York City for a warehouse to use in its business located in

ABC company exchanged an office building used in its business located in New York City for a warehouse to use in its business located in Texas. ABC company adjusted basis in the New York warehouse is 3,800,000. The Texas warehouse has a fair market value of 5,000,000 . In addition, ABC company receives marketable securities with a fair market value 330,000.

1. Compute ABC companies realized and recognized gain or loss. Show computations.

2. Compute ABC companies basis in the assets received. Show comoputations

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