From Fundamental of Federal Income Taxation James Freeland

Single Taxpayer buys a mountain cabin on Jan 1, 2011 for 200,000 2hich Single used as a vacation home through December 31, 2013. In 2013, Single sells her principal residence at a gain which is excluded under 121. On Jan 1 2014, Single moves into the mountain cabin and uses it as her principal residence.

(a) if single sells the mountain cabin for 350,000 on Jan 1 2016, how much of the gain is included in her gross income?

(b) what result in (a) if Single purchased the mountain cabin and began using it as a vacation home on Jan 1, 2006?

(c) Do the nonqualified use rules apply to Single if Single purchased and uses a principle residence for two years, then rents it out for 2 years prior to selling it?