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I need help with these questions. Please explain with explanations! Alice owns land with an adjusted basis of $520,000, subject to a mortgage of $250,000.
I need help with these questions. Please explain with explanations!
Alice owns land with an adjusted basis of $520,000, subject to a mortgage of $250,000. On April 1, Alice sells her land subject to the mortgage for S550,000 in cash, a note for $600,000, and property with a fair market value of $220,000. What is the amount realized? A $1,250,000 B.$1,370,000 C.$1,620,000 0 $1,820,000 E. None of the above QUESTION 25 Jill buys a house in the mountains for $400,000 which she uses as her personal vacation home. She builds an additional room on the house for $60,000 She sells the property for $570,000 and pays $30,000 in commissions and $10,000 in legal fees in connection with the sale. What is the realized gain or loss on the sale of the house? A. 50 B. $38,000 c. $70,000 $160,000 E None of the above
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