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Brandy sold a rental house that she owned for $150,000. Brandy bought the house four years ago for $140,000 and has claimed $25,000 of depreciation
Brandy sold a rental house that she owned for $150,000. Brandy bought the house four years ago for $140,000 and has claimed $25,000 of depreciation expense. What is the amount and character of Brandy's gain or loss? If this is the only asset Brandy sells during the year and her ordinary tax rate is 35 percent, how much tax would she owe on the sale of the rental house?
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