Barbara sold 100 shares of STP Company stock to her daughter, Doris, for $7,000. Th e stock originally cost Barbara $10,000. Doris later sells the stock on the open market for $8,000. Doris recognizes: a. no gain or loss. b. a $1,000 gain. c. a $2,000 gain. d. a $3,000 loss. e. a $2,000 loss. An apartment building owned by Frank was condemned by the state on March 1, 2012. Frank received the condemnation award on February 1, 2013. What is the last date that Frank can acquire appropriate replacement property if he wants to qualify for nonrecognition treatment? a. March 1, 2015 b. March 1, 2016 c. December 31, 2015 d. December 31, 2016 e. February 1, 2016 Which of the following persons is not a family member for purposes of the related party rules? a. Grandparent b. Sister c. Son d. Mother e. All of the above are family members Which of the following is not taken into consideration in computing the sellers amount realized from the exchange of property? a. Debt that the buyer assumes b. Commissions paid by the seller c. Legal fees paid by the seller in conjunction with the sale d. All of the above are taken into consideration in computing amount realized e. None of the above are taken into consideration in computing amount realized Several years ago, Jan paid $25,000 for 1,000 shares of stock in ABC. During the current year ABC declares a two-for-one stock split. Shortly thereafter, Jan sells 500 shares of ABC stock for $18,000. Her recognized gain on the sale of the 500 shares is: a. $0. b. $11,750. c. $5,500. d. $9,000. e. $7,500. Joels main home is destroyed in a tornado in a federally declared a disaster area. Th e insurance company compensates Joel for his loss in 2013, which produces a $350,000 realized gain. How long does Joel have to purchase a new principal residence and avoid being taxed on the gain? a. December 31, 2013 b. December 31, 2014 c. December 31, 2015 d. December 31, 2016 e. December 31, 2017