1. Fred is a sneakerhead. Last month, Fred bought a pair of Yeezy Boost 700 V2 Cream for $350 on amazon.com using his Amazon Rewards Visa Signature credit card. According to Fred, the credit card is a "must have" for frequent amazon shoppers as it provides 5% cash back on all amazon.com purchases. In addition, Adidas offered a $25 rebate on the purchase of any pair of Yeezy shoes; Fred submitted the appropriate rebate form and received the $25 rebate from Adidas. Yesterday, Fred sold the pair of Yeezy Boost 700 V2 Cream at a sneakerhead convention for $350. Does Fred recognize any gross income/gain as a result of any of the transactions? If so, how much? show calculations for amount realized, adjusted basis and gain/loss realized.