Bradly has fallen on hard times recently. Last year he borrowed $262,000 and added an additional $83,000 of his own funds to purchase $345,000 of undeveloped real estate. This year the value of the real estate dropped dramatically, and Bradlys lender agreed to reduce the loan amount to $239,300.

For each of the following independent situations, indicate the amount Bradly must include in gross income:

a. The real estate is worth $182,100 and Jimmy has no other assets or liabilities.

b. The real estate is worth $244,900 and Jimmy has no other assets or liabilities.

c.The real estate is worth $206,200 and Jimmy has $50,600 in other assets but no other liabilities.