d. Kiddle taX. d. Assignment of income. b. Recovery of cost. 7. Nare, an accrual-basis taxpayer, owns a building which was rented to Mott under a ten-year lease expiring August 31, 20X8. On January 2, 20X2, Mott paid $30,000 as consideration for canceling the lease. On November 1 20X2, Nare leased the building to Pine under a five-year lease. Pine paid Nare $10,000 rent for the two months of November and December, an additional $5,000 for the last month's rent, and a $10,000 refundable security deposit. What amount of income should Nare report in its 20X2 income tax return? a. $10,000 b. $15,000 d. $45,000 e. $55,000