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Exercise 7-3 (Algorithmic) (LO. 2, 4) Lisa sells business property with an adjusted basis of $132,000 to her son, Alfred, for its fair market value
Exercise 7-3 (Algorithmic) (LO. 2, 4) Lisa sells business property with an adjusted basis of $132,000 to her son, Alfred, for its fair market value of $105,600. If an amount is zero, enter "O". a. What is Lisa's realized and recognized gain or loss? Usa has a 26,400 realized loss of which 26,400 is recognized. b. What is Alfred's recognized gain or loss if he subsequently sells the property for $145,2007 For $85,8007 11 Alfred sells the property for $145,200, he has a recognized of If Alfred sells the property for $85,800, he has a recognized of harmant Feedback W MacBook Air gos 000 14 FS FO F7 79 FO $ 4 % 1 5 6 & 7 00 * 8 9 0 Sue exchanges a sport-utility vehicle (adjusted basis of $37,120; fair market value of $46,400) for cash of $6,960 and a pickup truck (falr market value of $39,440). Both vehicles are for business use. Sue believes that her basis for the truck is $39,440. Is Sue correct? beplan She must treat the transaction as a like-kind exchange Therefore the basis of the new property Sue has a gain recognized gain of No and Previous Feedback 0 MacBook Air 600 F4 F FB F10 11 TY
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